ITEM 1. BUSINESS
GENERAL
American General Corporation (American General) and its subsidiaries (collectively, the company or we) is a diversified financial services organization with assets of $115 billion at December 31, 1999. The company is a leading provider of retirement services, life insurance, consumer loans, and investments to 12 million customers. American General was incorporated as a general business corporation in Texas in 1980 and is the successor to American General Insurance Company, an insurance company incorporated in Texas in 1926.
Much of the information provided in response to Item 1 is incorporated herein by reference to selected sections of our 1999 Annual Report to Shareholders (ARS). Portions of our 1999 ARS are provided as Exhibit 13 to this Form 10-K.
CORPORATE DEVELOPMENT. Over the last five years, we acquired eight companies with assets of $34 billion for total consideration of nearly $6 billion. The three years of financial data included in this Form 10-K reflect our acquisitions in those years, as follows:
- During 1999, we acquired North Central Life Insurance Company (North Central Life), a credit life insurance company, and Standard Pacific Savings, F.A., which we renamed American General Bank, FSB, for a combined purchase price of $95 million.
- On February 25, 1998, we acquired the remaining 54% equity interest in Western National Corporation for $1.2 billion. Prior to 1997, we had acquired the original 46% for $400 million.
- On June 17, 1997, we acquired USLIFE Corporation (USLIFE) in an all-stock merger transaction valued at $1.8 billion. We reported this acquisition using the pooling of interests method of accounting.
- On April 16, 1997, we acquired Home Beneficial Life Insurance Company for $665 million.
Additional information regarding our acquisitions during the past three years is incorporated herein by reference to Note 2 of Notes to Financial Statements in our 1999 ARS.
BUSINESS DIVISIONS. We report the results of our operations in three business divisions: retirement services, life insurance, and consumer finance. A description of each business division, including principal products, methods of distribution, and principal markets, is incorporated herein by reference to Note 19.1 of Notes to Financial Statements in our 1999 ARS. Financial information for each division is incorporated herein by reference to the sections "Retirement Services," "Life Insurance," "Consumer Finance," "Asset/Liability Management," "Capital Resources," and "Liquidity" of Management's Discussion and Analysis (MD&A) and Note 19.2 of Notes to Financial Statements in our 1999 ARS, and to Schedule III of Item 14 of this Form 10-K.
EMPLOYEES. As of December 31, 1999, we had approximately 15,800 full-time salaried employees.
LIFE INSURANCE AND ANNUITY PRODUCTS
INSURANCE DEPOSITS AND PREMIUMS. The following table lists deposits and premiums and other considerations of our retirement services and insurance companies for the past three years:
*Represents premiums received for interest-sensitive life insurance and annuity products.
AMERICAN GENERAL
LIFE INSURANCE SALES AND IN FORCE. The following table summarizes the face amounts of life insurance sales and life insurance in force for our insurance companies for the past three years:
* Before deductions for reinsurance ceded; includes reinsurance assumed.
ANNUITY PRODUCTS. The following table summarizes annuity liabilities by product type for our retirement services and life insurance divisions at December 31:
Our retirement services division offers both tax-qualified and non-qualified fixed annuities. In 1999, minimum guaranteed interest crediting rates for these fixed annuities ranged from 3.0% to 6.0%; actual interest crediting rates ranged from 4.5% to 11.0%; and the weighted-average crediting rate was 5.3%. Our life insurance division also offers a variety of fixed annuity products. In 1999, minimum guaranteed interest crediting rates on these annuities ranged from 2.5% to 5.5%; actual interest crediting rates ranged from 3.0% to 10.0%; and the weighted-average crediting rate was 5.9%.
Both our retirement services and life insurance divisions offer annuity accounts with a variable investment option. A key feature of variable annuities is that the investment risk lies predominantly with the policyholder, rather than with the company. When a variable investment option is selected, deposits are invested in a mutual fund in accordance with the policyholder's instructions and recorded as separate account assets. To reflect the policyholder's right to these assets, an equivalent separate account liability is established.
Our payout annuities consist primarily of structured settlements of indemnity claims. We credit interest to these annuities at fixed rates determined when the contracts are issued, consistent with the related investment yield at the time. In 1999, interest crediting rates ranged from 2.0% to 14.0%.
INSURANCE AND ANNUITY RESERVING METHODS. Individual life insurance reserves are based on assumptions similar to those used to establish premium rates. Further information regarding reserving methods is incorporated herein by reference to Note 1.8 of Notes to Financial Statements in our 1999 ARS.
REINSURANCE. Information regarding reinsurance is incorporated herein by reference to Notes 1.11 and 16 of Notes to Financial Statements in our 1999 ARS, and to Schedule IV of Item 14 of this Form 10-K.
INVESTMENTS
Information regarding our investments is incorporated herein by reference to the sections "Investments" and "Asset/Liability Management" of MD&A and Notes 1.2, 1.14, 4, and 10 of Notes to Financial Statements in our 1999 ARS, and to Schedule I of Item 14 of this Form 10-K.
FACTORS AFFECTING PRICING OF PRODUCTS
INSURANCE AND ANNUITY PRODUCTS. Our premium rates are based on assumptions, which we believe are realistic, for future mortality, investment yields, expenses, and lapses. In addition, pricing is influenced by competition and our objectives for return on capital. Although a profit margin is included in the price of our products, the actual profitability of the products can be significantly affected by the difference between actual and assumed experience.
CONSUMER FINANCE PRODUCTS. Pricing of our consumer finance products is influenced by such factors as cost of borrowed funds, credit risk, competition, the expense of operations, and our target for return on capital. In addition, pricing is affected by state regulation of interest rates
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PART I (Continued)
based on contractual terms and loan amounts, charges for individual loans, and insurance premium rates.
COMPETITION
Competition in life insurance and financial services markets and continuing consolidations in the industry may affect, among other matters, our corporate development activities, business growth, distribution methods, and the pricing of our products and services.
On November 12, 1999, the Financial Services Modernization Act became federal law, breaking down regulatory barriers between banks, insurance companies, and securities firms which had existed for over 60 years. We anticipate that the new law will hasten the pace of consolidation in the financial services industry, as well as provide new opportunities and increase competition among diversified financial services companies. However, we do not expect this law to have a significant impact on our corporate or capital strategy.
Our retirement services and life insurance businesses operate in a highly competitive industry that consists of a large number of insurance companies, banks, mutual fund companies, and other financial institutions. No single competitor, nor any small group of competitors, dominates any of the markets in which we operate. Principal competitive factors include price, financial strength ratings, selection of products, quality of service, and investment management performance with respect to variable insurance, annuity, and mutual fund products.
The consumer finance business is highly competitive due to the large number of companies offering financial products and services, the sophistication of those products, technological improvements, and more rapid communications. We compete with other consumer finance companies and other types of financial institutions that offer similar products and services, including, but not limited to, industrial banks, industrial loan companies, mortgage banks, commercial banks, sales finance companies, savings and loan associations, federal savings banks, and credit unions.
The availability of the Internet as a distribution channel for financial products and services is making the financial services industry more competitive by allowing companies to promote or advertise life insurance, annuity, retirement services, and consumer financial products over the Internet.
REGULATION
INSURANCE. Our insurance companies are subject to state regulation in the jurisdictions in which they do business. Information concerning regulatory compliance is incorporated herein by reference to the sections "Capital Resources - Retirement Services and Life Insurance" and "Regulation and Other - Regulation" of MD&A in our 1999 ARS. Information regarding statutory accounting practices is incorporated herein by reference to Note 17 of Notes to Financial Statements in our 1999 ARS.
Most states also regulate affiliated groups, such as American General and our subsidiaries, under insurance holding company laws. Additional information regarding dividend restrictions is incorporated herein by reference to Note 18.1 of Notes to Financial Statements in our 1999 ARS.
All 50 states have laws requiring life insurance companies to pay assessments to state guaranty associations to protect the interests of policyholders of insolvent life insurance companies. A portion of these assessments can be recovered against the payment of future premium taxes; however, changes in state laws could decrease the amount available for recovery. Our probable costs related to state guaranty associations are immaterial.
The Insurance Marketplace Standards Association (IMSA) was created in 1997 by the American Council of Life Insurers, the industry's largest trade association, to provide a framework by which participating life insurers design, implement, and monitor sales and marketing practices of high ethical content to benefit and protect consumers. Certification by IMSA signifies that a company has committed to maintain the standards set forth in IMSA's principles of ethical market conduct. Our principal retirement services and life insurance subsidiaries are certified by IMSA.
REGISTERED PRODUCTS. Certain of our companies are subject to various federal securities laws and regulations related to investment companies. Separate accounts, which are maintained to fund variable life and annuity products, function as investment companies and, therefore, are subject to such laws and regulations, in particular the Investment Company Act of 1940. Variable life and annuity products are marketed by licensed insurance agents who are registered representatives of the company's wholly owned broker-dealer subsidiaries. These broker-dealers are member firms of the National Association of Securities Dealers and subject to its rules and regulations.
AMERICAN GENERAL
CONSUMER FINANCE. Our consumer finance companies are subject to various types of federal regulation including the Federal Consumer Credit Protection Act, the Equal Credit Opportunity Act, the Fair Credit Reporting Act, the Truth in Lending Act, certain Federal Trade Commission rules, and state laws that regulate the consumer loan and retail sales finance businesses. In addition, our thrift subsidiary, which engages in the consumer finance business and accepts insured deposits, is subject to regulation by and reporting requirements of the Federal Deposit Insurance Corporation and is subject to the examination, regulation, and reporting requirements of the Office of Thrift Supervision.
TAXATION. Tax laws affect not only the way we are taxed but also the design of many of our products. Changes in tax laws or regulations could adversely affect operating results.
ENVIRONMENTAL. Our principal exposure to environmental regulation arises from our ownership of investment real estate. Probable costs related to environmental cleanup are immaterial.
ITEM 1A.
ITEM 1A. EXECUTIVE OFFICERS OF THE REGISTRANT
Information as of March 10, 2000 regarding the company's executive officers who currently make disclosure filings pursuant to Section 16 of the Securities Exchange Act of 1934 is as follows:
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PART I (Continued)
ITEM 2.
ITEM 2. PROPERTIES
Our corporate headquarters is located in the American General Center, a complex of office buildings with 2.2 million square feet on a 46-acre tract near downtown Houston. American General and certain subsidiaries own all of the buildings and underlying land in the complex. We occupy approximately 50% of the total office space available in the American General Center.
Our subsidiaries also own various other properties, including properties held for investment and the home office buildings of: (1) American General Finance, Inc. in Evansville, Indiana; (2) American General Life and Accident Insurance Company in Nashville, Tennessee; and (3) The Franklin Life Insurance Company in Springfield, Illinois.
ITEM 3.
ITEM 3. LEGAL PROCEEDINGS
SATELLITE DISH. In the mid-1990's, one of our subsidiaries, American General Financial Center (renamed A.G. Financial Service Center, Inc.) (Financial Service Center), provided financing for satellite dishes sold by independent unaffiliated dealers. On May 18, 1999, the Chancery Court of the First Judicial District of Jones County, Mississippi in a case captioned Clayton D. Smith, et al. v. Delta TV Corporation, Don Acy, US Electronics, American General Financial Center, Civil Action No. 96-0254 (the Clayton Smith matter), rendered a judgment awarding approximately $500,000 in compensatory damages and $167 million in punitive damages against Financial Service Center. The lawsuit was filed on November 15, 1996, by 29 individuals who had each purchased a satellite dish. Financial Service Center, together with certain other American General companies, currently are named as defendants in other pending cases involving the financing of satellite dishes.
In August 1999, Financial Service Center filed a voluntary petition to reorganize under Chapter 11 of the United States Bankruptcy Code with the United States Bankruptcy Court for the Southern District of Indiana. The decision to reorganize was necessitated by the judgment rendered against Financial Service Center by the Mississippi state court. The filing for reorganization under Chapter 11 is limited to Financial Service Center and was intended to provide a fair and orderly process for managing the claims against Financial Service Center. Prior to the bankruptcy filing, Financial Service Center had assets of approximately $7 million.
In January 2000, settlement agreements were entered into in connection with the Clayton Smith matter and other pending cases relating to satellite dish financing. Accordingly, we recorded a charge of $57 million ($36 million aftertax) in fourth quarter 1999 to cover the proposed settlements and other litigation. Resolution of the satellite dish litigation is dependent upon a number of factors, including the bankruptcy court's approval of Financial Service Center's plan of reorganization. If court approvals are obtained and appeals are not taken, we expect that the settlements will be final in third quarter 2000.
WORKERS' COMPENSATION. Prior to our acquisition of USLIFE Corporation, one of its subsidiaries entered the workers' compensation reinsurance business in 1997. We discontinued writing new workers' compensation reinsurance business in 1998. Our largest contract was a quota share reinsurance agreement with Superior National Insurance Group (Superior National), effective May 1, 1998. On November 29, 1999, we initiated an arbitration proceeding to rescind this contract from its inception, based in part on misrepresentations and nondisclosures which we believe were made by Superior National. On March 3, 2000, the California Department of Insurance ordered seizure of Superior National as a result of its financial condition. We do not believe that this action will prevent the company from ultimately arbitrating its claim for recission, and we plan to fully pursue all remedies through the arbitration process.
Although we believe, based on the advice of counsel, that the company will succeed in rescinding the contract, risks and uncertainties remain with respect to the ultimate outcome. However, in the unlikely event the company does not prevail in the arbitration, we do not expect the additional aftertax losses from our workers' compensation reinsurance business to exceed $85 million, based on our current estimates. We believe that our ultimate loss, if any, related to our workers' compensation reinsurance business will not have a material adverse effect on our future results of operations and financial position.
MARKET CONDUCT. In recent years, various life insurance companies have been named as defendants in class action lawsuits relating to life insurance pricing and sales practices. A number of these lawsuits have resulted in substantial settlements across the life insurance industry. Certain of our subsidiaries were defendants in similar class action lawsuits. In 1998, our life insurance subsidiaries entered into agreements to resolve substantially all of the material pending market conduct class action lawsuits. We recorded a charge of $378 million ($246 million aftertax) for policyholder benefits and other anticipated expenses resulting from the proposed settlements, as well as other
AMERICAN GENERAL
administrative and legal costs. All of these settlements were finalized in 1999.
OTHER. The company is party to various other lawsuits and proceedings arising in the ordinary course of business. These lawsuits and proceedings include certain class action claims, claims filed by individuals who excluded themselves from market conduct settlements, and claims concerning the sale of industrial life insurance policies. In addition, many of these claims arise in jurisdictions, such as Alabama and Mississippi, that permit damage awards disproportionate to the actual economic damages alleged to have been incurred. Based upon information presently available, we believe that the total amounts that will ultimately be paid, if any, arising from these lawsuits and proceedings will not have a material adverse effect on the company's results of operations and financial position. However, it should be noted that the frequency of large damage awards, including large punitive damage awards that bear little or no relation to actual economic damages incurred by plaintiffs in some jurisdictions, continues to create the potential for an unpredictable judgment in any given suit.
ITEM 4.
ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
No matter was submitted to a vote of security holders during fourth quarter 1999.
1999 FORM 10-K
PART II
ITEM 5.
ITEM 5. MARKET FOR THE REGISTRANT'S COMMON EQUITY AND RELATED STOCKHOLDER MATTERS
The quarterly high and low market prices of American General's common stock as quoted by the New York Stock Exchange and restrictions on retained earnings for the payment of dividends are incorporated herein by reference to Notes 21 and 18.1, respectively, of Notes to Financial Statements in our 1999 ARS.
Common stock was owned by 36,129 shareholders of record and approximately 85,000 beneficial owners at March 1, 2000. The quarterly cash dividends paid on common stock are incorporated herein by reference to Note 21 of Notes to Financial Statements in our 1999 ARS.
The common stock of American General is traded in the United States on the New York Stock Exchange and the Pacific Exchange. Our common stock is also traded on the London Stock Exchange and the Swiss Stock Exchanges of Basel, Geneva, and Zurich.
On November 12, 1999, we issued 839,290 shares of American General common stock (valued at $66 million on November 12, 1999) in connection with our acquisition of North Central Life. These shares were issued to 30 individuals as consideration for the acquisition in exchange for those individuals' shares of Financial Life Companies, Inc., the parent company of North Central Life. The transaction did not involve a public offering of securities, and the shares issued were not registered under the Securities Act of 1933 (Securities Act) based on section 4(2) of the Securities Act and Regulation D as they relate to private offerings.
ITEM 6.
ITEM 6. SELECTED FINANCIAL DATA
The following selected financial data is derived from the consolidated financial statements of the company. The data should be read in conjunction with the consolidated financial statements, related notes, and other financial information included or incorporated by reference herein.
- ---------------
(a) Includes $36 million ($.14 per share) aftertax litigation settlements. (b) Includes $246 million ($.94 per share) aftertax litigation settlements and $42 million ($.16 per share) aftertax Year 2000 costs. (c) Includes $247 million ($.99 per share) aftertax merger-related costs, $73 million ($.29 per share) aftertax loss on sale of non-strategic assets, and $33 million ($.13 per share) aftertax litigation settlement. (d) Includes $111 million ($.44 per share) aftertax loss on sale of non-strategic assets and $32 million ($.13 per share) aftertax write-down of USLIFE group insurance business. (e) Includes $140 million ($.57 per share) aftertax adjustment to the allowance for finance receivable losses. (f) Includes fair value adjustment related to securities. Additional information is incorporated herein by reference to the section "Investments - Fair Value of Securities" of MD&A in American General's 1999 ARS.
ITEM 7.
ITEM 7. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
Management's Discussion and Analysis of Financial Condition and Results of Operations is incorporated herein by reference to "Management's Discussion and Analysis" on pages 21-35 in our 1999 ARS.
ITEM 7A.
ITEM 7A. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
American General's exposure to market risk is primarily related to changes in interest rates. Quantitative and qualitative disclosures about our market risk resulting from changes in interest rates are incorporated herein by reference to "Asset/Liability Management" of MD&A in our 1999 ARS.
ITEM 8.
ITEM 8. FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA
The company's financial statements and supplementary data are incorporated herein by reference to pages 36-56 in our 1999 ARS.
The ratios of earnings to fixed charges are incorporated herein by reference to Exhibit 12 of Item 14 of this Form 10-K.
ITEM 9.
ITEM 9. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE
None.
AMERICAN GENERAL
PART III
ITEM 10.
ITEM 10. DIRECTORS AND EXECUTIVE OFFICERS OF THE REGISTRANT
The information appearing in the sections "Election of Directors - Information About the Nominees" and "Section 16(a) Beneficial Ownership Reporting Compliance" in American General's definitive Proxy Statement filed March 21, 2000 (2000 Proxy Statement) is incorporated herein by reference. Information regarding the company's executive officers is included in Part I, Item 1A of this Form 10-K.
ITEM 11.
ITEM 11. EXECUTIVE COMPENSATION
The information appearing in the sections "Election of Directors" and "Executive Compensation" in our 2000 Proxy Statement is incorporated herein by reference.
ITEM 12.
ITEM 12. SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT
The information appearing in the section "Security Ownership" in our 2000 Proxy Statement is incorporated herein by reference.
ITEM 13.
ITEM 13. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS
The information appearing in the section "Certain Relationships and Transactions" in our 2000 Proxy Statement is incorporated herein by reference.
1999 FORM 10-K
PART IV
ITEM 14.
ITEM 14. EXHIBITS, FINANCIAL STATEMENT SCHEDULES, AND REPORTS ON FORM 8-K
(a) Documents filed as part of this report.
All other financial statement schedules have been omitted because they are inapplicable.
(continued on next page)
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3. Exhibits
(continued on next page)
1999 FORM 10-K
PART IV (Continued)
(continued on next page)
AMERICAN GENERAL
Any Exhibit not included with this Form 10-K will be furnished to any shareholder of record on written request and payment of up to $.25 per page plus postage. Such requests should be directed to American General Corporation, Investor Relations, P.O. Box 3247, Houston, Texas 77253-3247.
(b) Reports on Form 8-K.
None.
1999 FORM 10-K
PART IV (Continued)
AMERICAN GENERAL CORPORATION
SCHEDULE I - SUMMARY OF INVESTMENTS - OTHER THAN INVESTMENTS IN AFFILIATES
In millions
* Net of applicable allowance for losses. See Schedule V of this Form 10-K.
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AMERICAN GENERAL CORPORATION
SCHEDULE II - CONDENSED FINANCIAL INFORMATION OF REGISTRANT
INCOME STATEMENT OF AMERICAN GENERAL CORPORATION (PARENT ONLY)
In millions
(a) Includes $155 million in 1999, $150 million in 1998, and $141 million in 1997 related to subordinated debentures issued in conjunction with the issuances of preferred securities of subsidiaries. Additional information is incorporated herein by reference to Note 14 of Notes to Financial Statements in American General's 1999 ARS.
(b) Represents a portion of administrative and legal costs related to settlements of market conduct class action lawsuits involving American General's life insurance subsidiaries. Additional information is incorporated herein by reference to Notes 3.1 and 18.2 of Notes to Financial Statements in American General's 1999 ARS.
1999 FORM 10-K
PART IV (Continued)
AMERICAN GENERAL CORPORATION
SCHEDULE II - CONDENSED FINANCIAL INFORMATION OF REGISTRANT (CONTINUED)
BALANCE SHEET OF AMERICAN GENERAL CORPORATION (PARENT ONLY)
In millions
(a) The five-year schedule of debt maturities is as follows: 2000 - $353 million; 2001 - $3 million; 2002 - $35 million; 2003 - $100 million; and 2004 - $149 million.
(b) The principal amount of American General senior notes held by subsidiaries was $10 million at December 31, 1999, 1998, and 1997.
(c) Includes $2.18 billion in 1999 and $1.97 billion in 1998 and 1997 of subordinated debentures issued in conjunction with the issuances of preferred securities of subsidiaries. Additional information is incorporated herein by reference to Note 14 of Notes to Financial Statements in American General's 1999 ARS.
(d) Represents liability for settlements of market conduct class action lawsuits. This liability includes $130 million and $310 million at December 31, 1999 and 1998, respectively, assumed from American General's life insurance subsidiaries; the parent company had a related receivable from subsidiaries in 1998. Additional information is incorporated herein by reference to Notes 3.1 and 18.2 of Notes to Financial Statements in American General's 1999 ARS.
(e) Includes fair value adjustment related to securities. Additional information is incorporated herein by reference to the section "Investments - Fair Value of Securities" of MD&A in American General's 1999 ARS.
(f) Includes 699,614 shares, at a cost of $8 million in 1999, 1998, and 1997, which are held by a subsidiary.
AMERICAN GENERAL
AMERICAN GENERAL CORPORATION
SCHEDULE II - CONDENSED FINANCIAL INFORMATION OF REGISTRANT (CONTINUED)
STATEMENT OF CASH FLOWS OF AMERICAN GENERAL CORPORATION (PARENT ONLY)
In millions
1999 FORM 10-K
PART IV (Continued)
AMERICAN GENERAL CORPORATION
SCHEDULE III - SUPPLEMENTARY INSURANCE INFORMATION
In millions
(a) Includes fair value adjustment related to securities. Additional information is incorporated herein by reference to the section "Investments - Fair Value of Securities" of MD&A in American General's 1999 ARS.
(b) Includes cost of insurance purchased.
(c) Includes unearned premiums, other policy claims and benefits payable, and other policyholder funds, which are not significant relative to insurance and annuity liabilities.
(d) Represents earnings and related expenses on those investments considered necessary to support each division's business operations.
(e) Net of accretion of interest.
(f) Represents Consumer Finance non-insurance operations, Corporate operations, goodwill amortization, and interdivision eliminations.
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AMERICAN GENERAL CORPORATION
SCHEDULE IV - REINSURANCE
In millions
1999 FORM 10-K
PART IV (Continued)
AMERICAN GENERAL CORPORATION
SCHEDULE V - VALUATION AND QUALIFYING ACCOUNTS
In millions
(a) Resulting from write-offs of uncollectible receivables, mortgage loan payoffs, sales of real estate, foreclosures of real estate, and utilization of net loss carryforwards, unless otherwise noted.
(b) Relates to allowance for acquired receivables.
(c) Restructuring costs related to the integration of USLIFE into the company's operations and the concurrent realignment of the life insurance division. Additional information is incorporated herein by reference to Note 3.2 of Notes to Financial Statements in American General's 1999 ARS.
(d) Relates to unrealized losses on fixed maturity securities not expected to be realized; charged to other comprehensive income within shareholders' equity.
(e) Relates to operating loss carryovers not expected to be utilized; charged to deferred tax expense.
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AMERICAN GENERAL CORPORATION
SIGNATURES
Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized, on March 21, 2000.
AMERICAN GENERAL CORPORATION
By: /s/ Nicholas R. Rasmussen ---------------------------------------- Nicholas R. Rasmussen (Executive Vice President, Chief Financial Officer and Treasurer)
Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of the registrant and in the capacities indicated on March 21, 2000.
Robert M. Devlin* - ----------------------------------------------------------------- Robert M. Devlin (Chairman, President and Chief Executive Officer - Principal Executive Officer)
/s/ Nicholas R. Rasmussen - ----------------------------------------------------------------- Nicholas R. Rasmussen (Executive Vice President, Chief Financial Officer and Treasurer - Principal Financial Officer and Principal Accounting Officer)
J. Evans Attwell* - ----------------------------------------------------------------- J. Evans Attwell (Director)
Brady F. Carruth* - ----------------------------------------------------------------- Brady F. Carruth (Director)
W. Lipscomb Davis Jr.* - ----------------------------------------------------------------- W. Lipscomb Davis Jr. (Director)
J. Edward Easler II* - ----------------------------------------------------------------- J. Edward Easler II (Director)
Larry D. Horner* - ----------------------------------------------------------------- Larry D. Horner (Director)
Richard J.V. Johnson* - ----------------------------------------------------------------- Richard J.V. Johnson (Director)
Michael E. Murphy* - ----------------------------------------------------------------- Michael E. Murphy (Director)
Jon P. Newton* - ----------------------------------------------------------------- Jon P. Newton (Director)
Michael J. Poulos* - ----------------------------------------------------------------- Michael J. Poulos (Director)
Robert E. Smittcamp* - ----------------------------------------------------------------- Robert E. Smittcamp (Director)
Anne M. Tatlock* - ----------------------------------------------------------------- Anne M. Tatlock (Director)
*By: /s/ Mark S. Berg - ----------------------------------------------------------------- Mark S. Berg (Attorney-in-fact)
1999 FORM 10-K
EXHIBIT INDEX