Business Context and Reporting Period
Company: Prudential Financial, Inc.
Filing Type: Form 8-K (Current Report)
Date of Report: February 10, 2010
Subject: Correction of a typographical error in the news release announcing fourth quarter 2009 results of operations and financial condition.
Key Financial Metrics
This filing does not report new financial results but corrects a specific line item description regarding the Individual Annuities segment for the fourth quarter of 2009.
- Individual Annuities Impact: Net pre-tax charge of $30 million.
- Components of the Charge: Reserve releases for guaranteed death and income benefits, reduced amortization of deferred policy acquisition and other costs, and mark-to-market of hedging positions and embedded derivatives.
Material Changes Versus Prior Period
The filing addresses a correction to the description of a significant item included in the fourth quarter 2009 results. The original release incorrectly stated a "Net pre-tax benefit" of $30 million. The corrected filing clarifies that this was a "Net pre-tax charge" of $30 million. No other material changes to financial metrics are disclosed in this document.
Guidance, Outlook, and Risks
This 8-K filing is limited to the correction of a typographical error and does not contain updated guidance, management outlook, new risk factors, or discussion of contingencies beyond the correction of the previously reported figure.
Important Facts for Investor Verification
- Verify the impact of the $30 million pre-tax charge on the fourth quarter 2009 net income and earnings per share calculations.
- Confirm that the original news release has been superseded by this correction regarding the nature of the Individual Annuities item (charge vs. benefit).
- Note that the filing does not provide updated total revenue, profit, or cash flow figures for the period.