Primerica, Inc. - FORM 8-K - EX-99.2 - EXHIBIT 99.2

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8-K - PRIMERICA, INC. 8-K - Primerica, Inc.	a51331380.htm
EX-99.1 - EXHIBIT 99.1 - Primerica, Inc.	a51331380ex99_1.htm

Exhibit 99.2

Supplemental Financial Information

First Quarter 2016

Table of Contents

PRIMERICA, INC.

Financial Supplement

	Page

Preface, definition of Non-GAAP financial measures	3

Condensed balance sheets and reconciliation of balance sheet non-GAAP to GAAP financial measures	4

Financial results and other statistical data	5

Statements of income	6

Reconciliation of statement of income non-GAAP to GAAP financial measures	7

Segment operating results	8
Term Life Insurance segment - financial results, key statistics, and financial analysis	9-10
Investment and Savings Products segment - financial results, financial analysis, and key statistics	11-12

Investment portfolio	13-15

Five-year historical key statistics	16

2 of 16

Preface

PRIMERICA, INC.

Financial Supplement

FIRST QUARTER 2016

This document is a financial supplement to our first quarter 2016 earnings release. It is designed to enable comprehensive analysis of our ongoing business using the same core metrics that our management utilizes in assessing our business and making strategic and operational decisions. Throughout this document we provide financial information that is derived from our U.S. GAAP financial statements and adjusted for three different purposes, as follows:

●	Operatingadjustments exclude the impact of realized investment gains and losses.

●	Adjusted when used in describing stockholders' equity refers to the removal of the impact of net unrealized gains and losses on invested assets.

●	IPO coinsurance transactions adjustments relate to transactions in the first quarter of 2010, where we reinsured between 80% and 90% of our business that was in-force at year-end 2009 to entities then affiliated with Citigroup Inc. ("Citi") that were executed concurrent with our IPO.

Management utilizes certain non-GAAP financial measures in managing the business and believes they present relevant and meaningful analytical metrics for evaluating the ongoing business. Reconciliations of non-GAAP to GAAP financial measures are included in this financial supplement.

Certain items throughout this supplement may not add due to rounding and as such, may not agree to other public reporting of the respective item. Certain items throughout this supplement are noted as 'na' to indicate not applicable. Certain variances are noted as 'nm' to indicate not meaningful. Certain reclassifications have been made to prior-period amounts to conform to current-period reporting classifications. These reclassifications had no impact on net income or total stockholders' equity.

3 of 16

Condensed Balance Sheets and Reconciliation of Balance Sheet Non-GAAP to GAAP Financial Measures

PRIMERICA, INC.

Financial Supplement

(Dollars in thousands)	Dec 31, 2014			Mar 31, 2015			Jun 30, 2015			Sep 30, 2015			Dec 31, 2015			Mar 31, 2016
Condensed Balance Sheets
Assets:
Investments and cash excluding securities held to maturity	$	2,040,313		$	2,053,392		$	1,963,702		$	1,924,636		$	1,965,576		$	1,968,419
Securities held to maturity		220,000			238,000			328,000			356,000			365,220			404,860
Total investments and cash		2,260,313			2,291,392			2,291,702			2,280,636			2,330,796			2,373,279
Due from reinsurers		4,115,533			4,094,456			4,137,425			4,103,949			4,110,628			4,160,266
Deferred policy acquisition costs		1,351,180			1,377,022			1,430,508			1,465,175			1,500,259			1,559,833
Other assets		567,069			568,391			591,579			623,583			603,707			655,303
Separate account assets		2,440,303			2,386,265			2,324,980			2,086,598			2,063,899			2,264,108
Total assets	$	10,734,398		$	10,717,525		$	10,776,195		$	10,559,941		$	10,609,289		$	11,012,789

Liabilities:
Future policy benefits	$	5,264,608		$	5,289,016		$	5,361,580		$	5,388,042		$	5,431,711		$	5,518,834
Other policy liabilities		591,719			577,951			587,687			578,322			594,908			597,057
Income taxes		140,467			157,684			156,212			152,314			148,125			177,457
Other liabilities		410,629			402,126			384,666			397,114			416,417			418,469
Notes payable		372,187			372,278			372,369			372,460			372,552			372,643
Surplus note		219,147			237,162			327,176			355,190			364,424			404,079
Payable under securities lending		50,211			55,622			63,898			83,220			71,482			87,383
Separate account liabilities		2,440,303			2,386,265			2,324,980			2,086,598			2,063,899			2,264,108
Total liabilities		9,489,272			9,478,103			9,578,569			9,413,262			9,463,517			9,840,030
Stockholders’ equity:
Common stock ($0.01 par value) (1)		522			516			501			486			483			473
Paid-in capital		353,335			323,996			259,937			195,314			180,250			137,857
Retained earnings		795,741			830,624			871,440			912,749			952,804			989,685
Treasury stock		—			—			—			—			—			—
Accumulated other comprehensive income (loss), net:
Net unrealized investment gains (losses) not other-than-temporarily impaired		74,307			83,401			61,742			49,889			32,106			48,747
Net unrealized investment losses other-than-temporarily impaired		(461	)		(461	)		(461	)		(73	)		(71	)		(70	)
Cumulative translation adjustment		21,682			1,346			4,468			(11,684	)		(19,801	)		(3,933	)
Total stockholders’ equity		1,245,126			1,239,422			1,197,626			1,146,680			1,145,772			1,172,759
Total liabilities and stockholders' equity	$	10,734,398		$	10,717,525		$	10,776,195		$	10,559,941		$	10,609,289		$	11,012,789

Reconciliation of Adjusted Stockholders' Equity to Total Stockholders' Equity
Adjusted stockholders' equity	$	1,171,280		$	1,156,482		$	1,136,345		$	1,096,864		$	1,113,736		$	1,124,082
Reconciling items:
Net unrealized investment gains (losses) not other-than-temporarily impaired		74,307			83,401			61,742			49,889			32,106			48,747
Net unrealized investment losses other-than-temporarily impaired		(461	)		(461	)		(461	)		(73	)		(71	)		(70	)
Total reconciling items		73,846			82,940			61,281			49,816			32,036			48,678
Total stockholders’ equity	$	1,245,126		$	1,239,422		$	1,197,626		$	1,146,680		$	1,145,772		$	1,172,759

Adjusted Stockholders' Equity Rollforward
Balance, beginning of period	$	1,216,813		$	1,171,280		$	1,156,482		$	1,136,345		$	1,096,864		$	1,113,736
Net Income		45,466			43,401			49,173			49,350			47,948			45,176
Shareholder dividends		(6,462	)		(8,517	)		(8,357	)		(8,042	)		(7,893	)		(8,295	)
Retirement of shares and warrants		(82,447	)		(44,789	)		(70,999	)		(71,433	)		(20,538	)		(52,988	)
Net foreign currency translation adjustment		(8,600	)		(20,336	)		3,121			(16,152	)		(8,116	)		15,867
Other, net		6,510			15,444			6,925			6,795			5,471			10,585
Balance, end of period	$	1,171,280		$	1,156,482		$	1,136,345		$	1,096,864		$	1,113,736		$	1,124,082

Deferred Policy Acquisition Costs Rollforward
Balance, beginning of period	$	1,321,415		$	1,351,180		$	1,377,022		$	1,430,508		$	1,465,175		$	1,500,259
General expenses deferred		8,171			7,953			8,554			8,396			7,951			8,443
Commission costs deferred		67,980			70,389			78,799			79,787			77,810			81,174
Amortization of deferred policy acquisition costs		(39,544	)		(36,213	)		(36,383	)		(40,797	)		(44,334	)		(43,129	)
Foreign currency impact and other, net		(6,842	)		(16,287	)		2,516			(12,718	)		(6,343	)		13,086
Balance, end of period	$	1,351,180		$	1,377,022		$	1,430,508		$	1,465,175		$	1,500,259		$	1,559,833

(1)	Outstanding common shares exclude restricted stock units.

4 of 16

Financial Results and Other Statistical Data

PRIMERICA, INC.

Financial Supplement

																YOY Q1
(Dollars in thousands, except per-share data)		Q1 2015			Q2 2015			Q3 2015			Q4 2015			Q1 2016		Change			% Change
Earnings per Share
Basic earnings per share:
Weighted-average common shares and fully vested equity awards		52,642,881			51,786,679			50,081,730			49,061,165			48,549,580			(4,093,301	)		-7.8	%

Net income	$	43,401		$	49,173		$	49,350		$	47,948		$	45,176		$	1,776			4.1	%
Less income attributable to unvested participating securities		(444	)		(366	)		(379	)		(374	)		(370	)		74			16.7	%
Net income used in computing basic EPS	$	42,956		$	48,806		$	48,971		$	47,574		$	44,806		$	1,850			4.3	%
Basic earnings per share	$	0.82		$	0.94		$	0.98		$	0.97		$	0.92		$	0.11			13.1	%

Net operating income	$	42,566		$	48,791		$	49,521		$	50,174		$	45,680		$	3,114			7.3	%
Less operating income attributable to unvested participating securities		(436	)		(363	)		(381	)		(392	)		(375	)		61			14.1	%
Net operating income used in computing basic operating EPS	$	42,131		$	48,427		$	49,140		$	49,782		$	45,306		$	3,175			7.5	%
Basic operating income per share	$	0.80		$	0.94		$	0.98		$	1.01		$	0.93		$	0.13			16.6	%

Diluted earnings per share:
Weighted-average common shares and fully vested equity awards		52,642,881			51,786,679			50,081,730			49,061,165			48,549,580			(4,093,301	)		-7.8	%
Dilutive impact of options		48,104			25,292			21,792			31,685			24,090			(24,014	)		-49.9	%
Shares used to calculate diluted EPS		52,690,985			51,811,971			50,103,522			49,092,850			48,573,670			(4,117,315	)		-7.8	%

Net income	$	43,401		$	49,173		$	49,350		$	47,948		$	45,176		$	1,776			4.1	%
Less income attributable to unvested participating securities		(444	)		(366	)		(379	)		(374	)		(370	)		74			16.6	%
Net income used in computing diluted EPS	$	42,957		$	48,807		$	48,971		$	47,574		$	44,806		$	1,850			4.3	%
Diluted earnings per share	$	0.82		$	0.94		$	0.98		$	0.97		$	0.92		$	0.11			13.1	%

Net operating income	$	42,566		$	48,791		$	49,521		$	50,174		$	45,680		$	3,114			7.3	%
Less operating income attributable to unvested participating securities		(435	)		(363	)		(381	)		(392	)		(374	)		61			14.0	%
Net operating income used in computing diluted operating EPS	$	42,131		$	48,427		$	49,140		$	49,782		$	45,306		$	3,175			7.5	%
Diluted operating income per share	$	0.80		$	0.93		$	0.98		$	1.01		$	0.93		$	0.13			16.7	%




		Q1 2015			Q2 2015			Q3 2015			Q4 2015			Q1 2016		YOY Q1
		Q1 2015			Q2 2015			Q3 2015			Q4 2015			Q1 2016		Change			% Change
Annualized Return on Equity
Average stockholders' equity	$	1,242,274		$	1,218,524		$	1,172,153		$	1,146,226		$	1,159,266		$	(83,008	)		-6.7	%
Average adjusted stockholders' equity	$	1,163,881		$	1,146,414		$	1,116,605		$	1,105,300		$	1,118,909		$	(44,972	)		-3.9	%

Net income return on stockholders' equity		14.0	%		16.1	%		16.8	%		16.7	%		15.6	%		1.6	%	nm
Net income return on adjusted stockholders' equity		14.9	%		17.2	%		17.7	%		17.4	%		16.2	%		1.2	%	nm

Net operating income return on adjusted stockholders' equity		14.6	%		17.0	%		17.7	%		18.2	%		16.3	%		1.7	%	nm

Capital Structure
Debt-to-capital (1)		23.1	%		23.7	%		24.5	%		24.5	%		24.1	%		1.0	%	nm

Cash and invested assets to stockholders' equity		1.8	x		1.9	x		2.0	x		2.0	x		2.0	x		0.2	x	nm
Cash and invested assets to adjusted stockholders' equity		2.0	x		2.0	x		2.1	x		2.1	x		2.1	x		0.1	x	nm

Share count, end of period (2)		51,554,770			50,110,938			48,571,139			48,296,623			47,295,175			(4,259,595	)		-8.3	%
Adjusted stockholders' equity per share	$	22.43		$	22.68		$	22.58		$	23.06		$	23.77		$	1.34			6.0	%

Financial Strength Ratings - Primerica Life Insurance Co
Moody's		A2			A2			A2			A2			A2		nm			nm
S&P	AA-			AA-			AA-			AA-			AA-			nm			nm
A.M. Best		A+			A+			A+			A+			A+		nm			nm

Holding Company Senior Debt Ratings
Moody's	Baa2			Baa2			Baa2			Baa2			Baa2			nm			nm
S&P		A-			A-			A-			A-			A-		nm			nm
A.M. Best		a-			a-			a-			a-			a-		nm			nm

(1)	Debt-to-capital is that of the parent company only. Capital in the debt-to-capital ratio includes stockholders' equity and the note payable.
(2)	Share count reflects outstanding common shares, including restricted shares, but excludes restricted stock units (RSUs).

5 of 16

Statements of Income

PRIMERICA, INC.

Financial Supplement

																YOY Q1
(Dollars in thousands)		Q1 2015			Q2 2015			Q3 2015			Q4 2015			Q1 2016		$ Change			% Change
Statement of Income
Revenues:
Direct premiums	$	577,458		$	588,248		$	587,882		$	591,856		$	597,130		$	19,672			3.4	%
Ceded premiums		(397,541	)		(406,854	)		(393,987	)		(396,838	)		(395,333	)		2,207			0.6	%
Net premiums		179,918			181,394			193,895			195,018			201,797			21,879			12.2	%
Net investment income		21,173			19,075			18,715			17,546			21,238			65			0.3	%
Commissions and fees:
Sales-based (1)		60,035			63,072			56,418			57,859			56,220			(3,815	)		-6.4	%
Asset-based (2)		56,837			59,144			58,794			57,144			55,306			(1,530	)		-2.7	%
Account-based (3)		10,452			10,994			11,445			11,605			11,309			857			8.2	%
Other commissions and fees		5,511			5,939			5,711			6,185			5,987			475			8.6	%
Realized investment (losses) gains		1,284			597			(259	)		(3,361	)		(783	)		(2,068	)	nm
Other, net		9,635			10,301			11,105			12,132			11,889			2,254			23.4	%
Total revenues		344,845			350,517			355,824			354,128			362,962			18,118			5.3	%
Benefits and expenses:
Benefits and claims		82,500			82,521			88,599			85,694			90,977			8,476			10.3	%
Amortization of DAC		36,213			36,383			40,797			44,334			43,129			6,916			19.1	%
Insurance commissions		3,189			4,145			4,619			4,388			4,147			958			30.0	%
Insurance expenses		34,348			28,744			30,261			29,667			33,311			(1,037	)		-3.0	%
Sales commissions:
Sales-based (1)		42,442			44,595			40,036			40,809			40,327			(2,115	)		-5.0	%
Asset-based (2)		23,251			24,059			24,374			23,802			23,093			(158	)		-0.7	%
Other sales commissions		2,764			2,845			2,991			2,925			3,222			458			16.6	%
Interest expense		8,676			8,642			8,718			7,471			7,173			(1,503	)		-17.3	%
Other operating expenses		44,652			41,759			40,475			42,644			47,370			2,718			6.1	%
Total benefits and expenses		278,036			273,692			280,871			281,735			292,749			14,714			5.3	%
Income before income taxes		66,809			76,825			74,953			72,393			70,213			3,404			5.1	%
Income taxes		23,408			27,653			25,603			24,445			25,037			1,628			7.0	%
Net income	$	43,401		$	49,173		$	49,350		$	47,948		$	45,176		$	1,776			4.1	%

Income Before Income Taxes by Segment
Term Life	$	36,076		$	44,689		$	46,519		$	45,925		$	46,081		$	10,005			27.7	%
Investment & Savings Products		35,044			37,746			34,811			38,482			31,691			(3,353	)		-9.6	%
Corporate & Other Distributed Products		(4,310	)		(5,610	)		(6,377	)		(12,014	)		(7,558	)		(3,248	)		-75.4	%
Income before income taxes	$	66,809		$	76,825		$	74,953		$	72,393		$	70,213		$	3,404			5.1	%

(1)	Sales-based - revenues or commission expenses relating to the sales of mutual funds and variable annuities
(2)	Asset-based - revenues or commission expenses relating to the value of assets in client accounts for which we earn ongoing service, distribution, and other fees
(3)	Account-based - revenues relating to the fee generating client accounts we administer

6 of 16

Reconciliation of Statement of Income Non-GAAP to GAAP Financial Measures

PRIMERICA, INC.

Financial Supplement

																YOY Q1
		Q1 2015			Q2 2015			Q3 2015			Q4 2015			Q1 2016		$ Change			% Change
(Dollars in thousands)		Q1 2015			Q2 2015			Q3 2015			Q4 2015			Q1 2016		$ Change			% Change
Reconciliation from Term Life Adjusted Direct Premiums to Term Life Direct Premiums
Term Life adjusted direct premiums	$	237,430		$	247,889		$	256,026		$	259,700		$	267,750		$	30,319			12.8	%
Premiums ceded to IPO Coinsurers		331,733			331,984			323,501			324,870			321,494			(10,239	)		-3.1	%
Term Life direct premiums	$	569,164		$	579,873		$	579,527		$	584,570		$	589,244		$	20,081			3.5	%


Reconciliation from Term Life Other Ceded Premiums to Term Life Ceded Premiums
Term Life other ceded premiums	$	(63,389	)	$	(72,227	)	$	(67,939	)	$	(69,310	)	$	(71,776	)	$	(8,388	)		-13.2	%
Premiums ceded to IPO Coinsurers		(331,733	)		(331,984	)		(323,501	)		(324,870	)		(321,494	)		10,239			3.1	%
Term Life ceded premiums	$	(395,122	)	$	(404,211	)	$	(391,440	)	$	(394,179	)	$	(393,271	)	$	1,851			0.5	%


Reconciliation from Operating Revenues to Total Revenues
Operating revenues	$	343,560		$	349,920		$	356,083		$	357,489		$	363,745		$	20,185			5.9	%
Realized investment gains/(losses)		1,284			597			(259	)		(3,361	)		(783	)	nm			nm
Total revenues	$	344,845		$	350,517		$	355,824		$	354,128		$	362,962		$	18,118			5.3	%


Reconciliation from Operating Income Before Income Taxes to Income Before Income Taxes
Operating income before income taxes	$	65,525		$	76,228		$	75,212		$	75,754		$	70,996		$	5,471			8.4	%

Operating income before income taxes reconciling items:
Realized investment gains/(losses)		1,284			597			(259	)		(3,361	)		(783	)	nm			nm
Total operating income before income taxes reconciling items		1,284			597			(259	)		(3,361	)		(783	)	nm			nm

Income before income taxes	$	66,809		$	76,825		$	74,953		$	72,393		$	70,213		$	3,404			5.1	%


Reconciliation from Net Operating Income to Net Income
Net operating income	$	42,566		$	48,791		$	49,521		$	50,174		$	45,680		$	3,114			7.3	%

Net operating income reconciling items:
Operating income before income taxes reconciling items		1,284			597			(259	)		(3,361	)		(783	)	nm			nm
Tax impact of operating income reconciling items at effective tax rate		(450	)		(215	)		88			1,135			279		nm			nm
Total net operating income reconciling items		834			382			(170	)		(2,226	)		(504	)	nm			nm

Net income	$	43,401		$	49,173		$	49,350		$	47,948		$	45,176		$	1,776			4.1	%

7 of 16

Segment Operating Results

PRIMERICA, INC.

Financial Supplement

																YOY Q1
(Dollars in thousands)		Q1 2015			Q2 2015			Q3 2015			Q4 2015			Q1 2016		$ Change			% Change
Term Life Insurance
Revenues:
Direct Premiums	$	569,164		$	579,873		$	579,527		$	584,570		$	589,244		$	20,081			3.5	%
Premiums ceded to IPO coinsurers (1)		(331,733	)		(331,984	)		(323,501	)		(324,870	)		(321,494	)		10,239			3.1	%
Adjusted direct premiums (2)		237,430			247,889			256,026			259,700			267,750			30,319			12.8	%
Other ceded premiums (3)		(63,389	)		(72,227	)		(67,939	)		(69,310	)		(71,776	)		(8,388	)		-13.2	%
Net premiums		174,042			175,662			188,087			190,390			195,973			21,932			12.6	%
Allocated net investment income		1,405			1,436			1,508			1,639			1,850			445			31.7	%
Other, net		6,749			7,291			7,605			8,136			8,455			1,706			25.3	%
Operating revenues		182,195			184,389			197,200			200,165			206,278			24,083			13.2	%
Benefits and expenses:
Benefits and claims		77,990			78,268			83,816			82,158			86,795			8,805			11.3	%
Amortization of DAC		35,017			32,797			37,263			42,903			41,224			6,207			17.7	%
Insurance commissions		601			1,382			1,084			1,180			968			367			61.0	%
Insurance expenses		32,511			27,253			28,516			27,999			31,210			(1,301	)		-4.0	%
Operating benefits and expenses		146,119			139,700			150,680			154,240			160,198			14,078			9.6	%
Operating income before income taxes	$	36,076		$	44,689		$	46,519		$	45,925		$	46,081		$	10,005			27.7	%

Investment & Savings Products
Revenues:
Commissions and fees:
Sales-based	$	60,035		$	63,072		$	56,418		$	57,859		$	56,220		$	(3,815	)		-6.4	%
Asset-based		56,837			59,144			58,794			57,144			55,306			(1,530	)		-2.7	%
Account-based		10,452			10,994			11,445			11,605			11,309			857			8.2	%
Other, net		1,751			1,870			2,000			2,799			2,200			450			25.7	%
Operating revenues		129,074			135,081			128,657			129,408			125,035			(4,039	)		-3.1	%
Benefits and expenses:
Amortization of DAC		1,201			2,901			3,299			552			1,919			718			59.8	%
Insurance commissions		1,971			2,182			2,957			2,731			2,631			660			33.5	%
Sales commissions:
Sales-based		42,442			44,595			40,036			40,809			40,327			(2,115	)		-5.0	%
Asset-based		23,251			24,059			24,374			23,802			23,093			(158	)		-0.7	%
Other operating expenses		25,166			23,599			23,180			23,032			25,374			208			0.8	%
Operating benefits and expenses		94,031			97,335			93,846			90,925			93,345			(686	)		-0.7	%
Operating income before income taxes	$	35,044		$	37,746		$	34,811		$	38,482		$	31,691		$	(3,353	)		-9.6	%

Corporate & Other Distributed Products
Revenues:
Direct premiums	$	8,295		$	8,376		$	8,355		$	7,286		$	7,886		$	(409	)		-4.9	%
Ceded premiums		(2,419	)		(2,644	)		(2,547	)		(2,658	)		(2,063	)		356			14.7	%
Net premiums		5,876			5,732			5,808			4,628			5,823			(52	)		-0.9	%
Allocated net investment income		19,768			17,640			17,207			15,907			19,389			(380	)		-1.9	%
Commissions and fees:
Loans		42			43			37			40			44			2			4.6	%
DebtWatchers		307			311			303			299			282			(25	)		-8.2	%
Prepaid Legal Services		2,468			2,494			2,527			2,579			2,650			182			7.4	%
Auto and Homeowners Insurance		1,770			2,096			1,841			2,201			1,757			(12	)		-0.7	%
Long-Term Care Insurance		534			583			558			599			713			180			33.6	%
Other sales commissions		391			412			445			466			540			149			38.1	%
Other, net		1,135			1,140			1,500			1,197			1,233			98			8.6	%
Operating revenues		32,291			30,450			30,227			27,916			32,432			141			0.4	%
Benefits and expenses:
Benefits and claims		4,510			4,253			4,783			3,536			4,182			(329	)		-7.3	%
Amortization of DAC		(5	)		685			235			880			(15	)		(9	)	nm
Insurance commissions		617			581			578			477			548			(68	)		-11.1	%
Insurance expenses		1,837			1,491			1,745			1,668			2,101			264			14.4	%
Sales commissions		2,764			2,845			2,991			2,925			3,222			458			16.6	%
Interest expense		8,676			8,642			8,718			7,471			7,173			(1,503	)		-17.3	%
Other operating expenses		19,486			18,160			17,296			19,612			21,995			2,510			12.9	%
Operating benefits and expenses		37,885			36,657			36,345			36,569			39,207			1,322			3.5	%
Operating income before income taxes	$	(5,595	)	$	(6,207	)	$	(6,118	)	$	(8,653	)	$	(6,775	)	$	(1,181	)		-21.1	%

(1)	Premiums ceded to IPO coinsurers - premiums ceded to IPO coinsurers under the IPO coinsurance transactions excluding any reimbursements from the IPO coinsurers on previously existing reinsurance agreements
(2)	Adjusted direct premiums - direct premiums net of premiums ceded to IPO coinsurers
(3)	Other ceded premiums - premiums ceded to non-IPO coinsurers net of any applicable reimbursements from the IPO coinsurers

8 of 16

Term Life Insurance - Financial Results and Analysis

PRIMERICA, INC.

Financial Supplement

(Dollars in thousands)																YOY Q1
Term Life Insurance Operating Income Before Income Taxes		Q1 2015			Q2 2015			Q3 2015			Q4 2015			Q1 2016		$ Change			% Change
Revenues:
Direct Premiums	$	569,164		$	579,873		$	579,527		$	584,570		$	589,244		$	20,081			3.5	%
Premiums ceded to IPO coinsurers (1)		(331,733	)		(331,984	)		(323,501	)		(324,870	)		(321,494	)		10,239			3.1	%
Adjusted direct premiums (2)		237,430			247,889			256,026			259,700			267,750			30,319			12.8	%
Other ceded premiums (3)		(63,389	)		(72,227	)		(67,939	)		(69,310	)		(71,776	)		(8,388	)		-13.2	%
Net premiums		174,042			175,662			188,087			190,390			195,973			21,932			12.6	%
Allocated net investment income		1,405			1,436			1,508			1,639			1,850			445			31.7	%
Other, net		6,749			7,291			7,605			8,136			8,455			1,706			25.3	%
Operating revenues		182,195			184,389			197,200			200,165			206,278			24,083			13.2	%
Benefits and expenses:
Benefits and claims		77,990			78,268			83,816			82,158			86,795			8,805			11.3	%
Amortization of DAC		35,017			32,797			37,263			42,903			41,224			6,207			17.7	%
Insurance commissions		601			1,382			1,084			1,180			968			367			61.0	%
Insurance expenses		32,511			27,253			28,516			27,999			31,210			(1,301	)		-4.0	%
Operating benefits and expenses		146,119			139,700			150,680			154,240			160,198			14,078			9.6	%
Operating income before income taxes	$	36,076		$	44,689		$	46,519		$	45,925		$	46,081		$	10,005			27.7	%

Total Term Life Insurance - Financial Analysis
Primary direct premiums (4)	$	156,714		$	167,118		$	177,307		$	180,664		$	189,540		$	32,826			20.9	%
Legacy direct premiums (5)		412,449			412,754			402,220			403,906			399,704			(12,745	)		-3.1	%
Total direct premiums	$	569,164		$	579,873		$	579,527		$	584,570		$	589,244		$	20,081			3.5	%

Premiums ceded to IPO coinsurers	$	331,733		$	331,984		$	323,501		$	324,870		$	321,494		$	(10,239	)		-3.1	%
% of Legacy direct premiums		80.4	%		80.4	%		80.4	%		80.4	%		80.4	%	nm			nm

Benefits and claims, net (6)	$	141,379		$	150,494		$	151,755		$	151,468		$	158,571		$	17,193			12.2	%
% of adjusted direct premiums		59.5	%		60.7	%		59.3	%		58.3	%		59.2	%	nm			nm

DAC amortization & insurance commissions	$	35,619		$	34,179		$	38,347		$	44,083		$	42,193		$	6,574			18.5	%
% of adjusted direct premiums		15.0	%		13.8	%		15.0	%		17.0	%		15.8	%	nm			nm

Insurance expenses, net (7)	$	25,762		$	19,962		$	20,912		$	19,863		$	22,755		$	(3,007	)		-11.7	%
% of adjusted direct premiums		10.9	%		8.1	%		8.2	%		7.6	%		8.5	%	nm			nm

Total Term Life operating income before income taxes	$	36,076		$	44,689		$	46,519		$	45,925		$	46,081		$	10,005			27.7	%
Term Life operating margin (8)		15.2	%		18.0	%		18.2	%		17.7	%		17.2	%	nm			nm

(1)	Premiums ceded to IPO coinsurers - premiums ceded to IPO coinsurers under the IPO coinsurance transactions excluding any reimbursements from the IPO coinsurers on previously existing reinsurance agreements
(2)	Adjusted direct premiums - direct premiums net of premiums ceded to IPO coinsurers
(3)	Other ceded premiums - premiums ceded to non-IPO coinsurers net of any applicable reimbursements from the IPO coinsurers
(4)	Primary direct premiums - direct premiums not subject to the 2010 IPO coinsurance transactions
(5)	Legacy direct premiums - direct premiums subject to the 2010 IPO coinsurance transactions
(6)	Benefits and claims, net - benefits & claims net of other ceded premiums which are largely YRT
(7)	Insurance expenses, net - insurance expenses net of other net revenues
(8)	Term Life operating margin - Term Life operating income before income taxes as a percentage of adjusted direct premiums

9 of 16

Term Life Insurance - Key Statistics

PRIMERICA, INC.

Financial Supplement

																YOY Q1
(Dollars in thousands, except as noted)		Q1 2015			Q2 2015			Q3 2015			Q4 2015			Q1 2016		$ Change			% Change
Key Statistics

Life-insurance licensed sales force, beginning of period		98,358			98,145			101,008			104,702			106,710			8,352			8.5	%
New life-licensed representatives		7,486			10,439			11,160			10,547			9,666			2,180			29.1	%
Non-renewal and terminated representatives		(7,699	)		(7,576	)		(7,466	)		(8,539	)		(8,156	)		(457	)		-5.9	%
Life-insurance licensed sales force, end of period		98,145			101,008			104,702			106,710			108,220			10,075			10.3	%

Estimated annualized issued term life premium ($mills) (1):
Premium from new policies	$	45.1		$	55.3		$	54.5		$	57.4		$	54.0		$	8.9			19.6	%
Additions and increases in premium		12.8			14.0			13.7			14.4			14.0			1.2			9.2	%
Total estimated annualized issued term life premium	$	57.9		$	69.3		$	68.2		$	71.8		$	68.0		$	10.0			17.3	%

Issued term life policies		55,677			68,097			66,658			69,627			66,376			10,699			19.2	%
Estimated average annualized issued term life premium per policy (1)(2)	$	811		$	813		$	817		$	825		$	814		$	3			0.4	%

Term life face amount in-force, beginning of period ($mills)	$	681,927		$	678,517		$	688,163		$	689,316		$	693,194		$	11,267			1.7	%
Issued term life face amount (3)		17,181			20,585			20,321			21,023			19,790			2,609			15.2	%
Terminated term life face amount		(13,344	)		(12,064	)		(13,659	)		(14,513	)		(13,814	)		(470	)		-3.5	%
Foreign currency impact, net		(7,247	)		1,125			(5,509	)		(2,632	)		5,462			12,709		nm
Term life face amount in-force, end of period	$	678,517		$	688,163		$	689,316		$	693,194		$	704,632		$	26,115			3.8	%

(1)	Estimated annualized issued term life premium - estimated as average premium per $1,000 of face amounts issued on new policies and additions (before free look returns) multiplied by actual face amount issued on new policies, rider additions and face amount increases.
(2)	In whole dollars
(3)	Issued term life face amount - includes face amount on issued term life policies, additional riders added to existing policies, and face increases under increasing benefit riders

10 of 16

Investment and Savings Products - Financial Results and Financial Analysis

PRIMERICA, INC.

Financial Supplement

(Dollars in thousands, except as noted)																YOY Q1
Investment & Savings Products Operating Income Before Income Taxes		Q1 2015			Q2 2015			Q3 2015			Q4 2015			Q1 2016		$ Change			% Change
Revenues:
Commissions and fees:
Sales-based	$	60,035		$	63,072		$	56,418		$	57,859		$	56,220		$	(3,815	)		-6.4	%
Asset-based		56,837			59,144			58,794			57,144			55,306			(1,530	)		-2.7	%
Account-based		10,452			10,994			11,445			11,605			11,309			857			8.2	%
Other, net		1,751			1,870			2,000			2,799			2,200			450			25.7	%
Operating revenues		129,074			135,081			128,657			129,408			125,035			(4,039	)		-3.1	%
Benefits and expenses:
Amortization of DAC		1,201			2,901			3,299			552			1,919			718			59.8	%
Insurance commissions		1,971			2,182			2,957			2,731			2,631			660			33.5	%
Sales commissions:
Sales-based		42,442			44,595			40,036			40,809			40,327			(2,115	)		-5.0	%
Asset-based		23,251			24,059			24,374			23,802			23,093			(158	)		-0.7	%
Other operating expenses		25,166			23,599			23,180			23,032			25,374			208			0.8	%
Operating benefits and expenses		94,031			97,335			93,846			90,925			93,345			(686	)		-0.7	%
Operating income before income taxes	$	35,044		$	37,746		$	34,811		$	38,482		$	31,691		$	(3,353	)		-9.6	%

Financial Analysis

Fees paid based on client asset values (1)	$	4,674		$	4,828		$	4,540		$	4,429		$	4,298		$	(376	)		-8.1	%
Fees paid based on fee-generating accounts (2)		3,172			3,439			3,464			3,483			3,495			323			10.2	%
Other operating expenses		17,320			15,332			15,175			15,120			17,582			262			1.5	%
Total other operating expenses	$	25,166		$	23,599		$	23,180		$	23,032		$	25,374		$	208			0.8	%

Sales-based net revenue as % of revenue-generating sales (3)
U.S.		1.36	%		1.34	%		1.38	%		1.38	%		1.31	%	nm			nm
Canada		1.09	%		1.07	%		0.97	%		0.96	%		1.10	%	nm			nm
Total		1.32	%		1.31	%		1.33	%		1.33	%		1.28	%	nm			nm

Asset-based net revenue as % of average asset values (4)
U.S.		0.036	%		0.037	%		0.037	%		0.036	%		0.036	%	nm			nm
Canada		0.134	%		0.118	%		0.111	%		0.146	%		0.124	%	nm			nm
Total		0.053	%		0.051	%		0.049	%		0.054	%		0.050	%	nm			nm

Account-based net revenue per average fee generating account (5)(6)	$	2.70		$	2.68		$	2.81		$	2.85		$	2.74		nm			nm

(1)	Fees paid based on client asset values - administration fees on Canadian Segregated Funds and advisory fees on Managed Accounts that vary directly with client asset values
(2)	Fees paid based on fee-generating accounts - recordkeeping fees that vary with the number of fee-generating accounts
(3)	Sales-based net revenue - commission and fee revenue less commissions paid to the sales force based on product sales activity
(4)	Asset-based net revenue - commission and fee revenue less administration and advisory fees paid to third-party providers and commissions paid to the sales force earned based on product account values including amortization of deferred acquisition costs for segregated funds
(5)	Account-based net revenue - fee revenue less recordkeeping fees paid to third-party providers based on fee-generating accounts
(6)	In whole dollars

11 of 16

Investment and Savings Products - Key Statistics

PRIMERICA, INC.

Financial Supplement

(Dollars in thousands, except as noted)																YOY Q1
Key Statistics		Q1 2015			Q2 2015			Q3 2015			Q4 2015			Q1 2016		$ Change			% Change

Product sales ($mills)
U.S. Retail Mutual Funds	$	641.2		$	698.7		$	597.4		$	620.0		$	599.9		$	(41.3	)		-6.4	%
Canada Retail Mutual Funds		214.5			170.2			158.4			158.7			209.6			(4.8	)		-2.2	%
Indexed Annuities		73.7			91.2			75.3			80.2			84.4			10.7			14.6	%
Variable Annuities and other		405.0			452.2			404.3			422.2			349.4			(55.6	)		-13.7	%
Total sales-based revenue generating product sales		1,334.3			1,412.2			1,235.4			1,281.0			1,243.3			(90.9	)		-6.8	%
Managed Accounts		66.1			72.2			57.1			51.4			45.2			(20.9	)		-31.6	%
Segregated Funds		114.4			82.4			74.2			76.1			87.3			(27.1	)		-23.7	%
Total product sales	$	1,514.8		$	1,566.8		$	1,366.8		$	1,408.6		$	1,375.9		$	(138.9	)		-9.2	%

Canada Retail Mutual Funds	$	214.5		$	170.2		$	158.4		$	158.7		$	209.6		$	(4.8	)		-2.2	%
Segregated Funds		114.4			82.4			74.2			76.1			87.3			(27.1	)		-23.7	%
Total Canada product sales		328.8			252.6			232.7			234.8			297.0			(31.9	)		-9.7	%
Total U.S. product sales		1,185.9			1,314.2			1,134.1			1,173.8			1,078.9			(107.0	)		-9.0	%
Total product sales	$	1,514.8		$	1,566.8		$	1,366.8		$	1,408.6		$	1,375.9		$	(138.9	)		-9.2	%

Client asset values, beginning of period ($mills)	$	48,656		$	49,195		$	49,372		$	45,848		$	47,353		$	(1,303	)		-2.7	%
Inflows		1,515			1,567			1,367			1,409			1,376			(139	)		-9.2	%
Outflows (1)		(1,246	)		(1,267	)		(1,168	)		(1,163	)		(1,153	)		93			7.4	%
Net flows		269			300			199			245			223			(46	)	nm
Foreign currency impact, net		(734	)		122			(581	)		(263	)		555			1,290		nm
Change in market value, net and other (2)		1,004			(245	)		(3,142	)		1,523			43			(961	)	nm
Client asset values, end of period	$	49,195		$	49,372		$	45,848		$	47,353		$	48,174		$	(1,021	)		-2.1	%
Annualized net flows as % of beginning of period asset values		2.2	%		2.4	%		1.6	%		2.1	%		1.9	%		-0.3	%	nm

Average client asset values ($mills)
U.S. Retail Mutual Funds	$	24,787		$	25,099		$	24,208		$	24,008		$	23,390		$	(1,397	)		-5.6	%
Canada Retail Mutual Funds		6,035			6,177			5,808			5,593			5,478			(558	)		-9.2	%
Managed Accounts		1,446			1,526			1,532			1,567			1,582			136			9.4	%
Indexed Annuities		1,089			1,162			1,230			1,296			1,366			277			25.4	%
Variable Annuities and other		12,995			13,313			12,980			12,965			12,711			(284	)		-2.2	%
Segregated Funds		2,390			2,381			2,205			2,112			2,120			(270	)		-11.3	%
Total	$	48,743		$	49,658		$	47,963		$	47,542		$	46,646		$	(2,097	)		-4.3	%

Canada Retail Mutual Funds	$	6,035		$	6,177		$	5,808		$	5,593		$	5,478		$	(558	)		-9.2	%
Segregated Funds		2,390			2,381			2,205			2,112			2,120			(270	)		-11.3	%
Total Canada average client assets		8,425			8,558			8,014			7,705			7,597			(828	)		-9.8	%
Total U.S. average client assets		40,317			41,100			39,950			39,837			39,049			(1,269	)		-3.1	%
Total average client assets	$	48,743		$	49,658		$	47,963		$	47,542		$	46,646		$	(2,097	)		-4.3	%

Average number of fee-generating accounts (thous) (3)
Recordkeeping and custodial accounts		2,067			2,165			2,179			2,188			2,191			124			6.0	%
Recordkeeping only accounts		628			657			662			664			666			38			6.0	%
Total		2,695			2,822			2,841			2,853			2,857			162			6.0	%

(1)	Asset value outflows - include (a) redemptions of assets, (b) sales charges on the inflow sales figures, and (c) the net flow of money market funds sold and redeemed on the company's recordkeeping platform. The redemptions of assets must be estimated for approximately 4% of account values as these figures are not readily available. Actual redemptions as a percentage of account values for similar known account values are used to estimate the unknown redemption values.
(2)	Change in market value, net - market value fluctuations net of fees and expenses
(3)	Fee generating accounts - mutual fund accounts for which we receive recording keeping and/or custodial fees

12 of 16

Investment Portfolio - Summary of Holdings

PRIMERICA, INC.

Financial Supplement

	As of or for the period ended March 31, 2016
								% of Total						Avg
	Market		Amortized		Unrealized			Market			Amortized			Book			Avg
(Dollars in thousands)	Value		Cost			G/(L)		Value			Cost			Yield			Rating
Investment Portfolio by Asset Class

Cash and cash equivalents	$	175,717	$	175,717	$	-			9.1	%		9.4	%

Fixed Income:
Treasury		29,285		27,581		1,705			1.5	%		1.5	%		2.29	%	AAA
Government		148,678		139,860		8,819			7.7	%		7.5	%		4.07	%	AA-
Tax-Exempt Municipal		3,535		4,025		(490	)		0.2	%		0.2	%		3.07	%	BBB
Corporate		1,187,104		1,146,005		41,099			61.2	%		61.5	%		4.69	%	BBB+
Mortgage-Backed		93,271		86,155		7,116			4.8	%		4.6	%		4.58	%	AAA
Asset-Backed		42,977		42,626		351			2.2	%		2.3	%		1.55	%	AA+
CMBS		104,379		100,265		4,114			5.4	%		5.4	%		3.26	%	AAA
Private		98,325		95,733		2,592			5.1	%		5.1	%		4.92	%	BBB-
Redeemable Preferred		2,927		3,007		(80	)		0.2	%		0.2	%		16.05	%	BBB
Convertible		2,842		2,574		269			0.1	%		0.1	%		4.92	%	BBB
Total Fixed Income		1,713,324		1,647,830		65,494			88.4	%		88.4	%		4.46	%		A-

Equities:
Perpetual Preferred		16,267		14,966		1,301			0.8	%		0.8	%
Common Stock		21,175		14,744		6,431			1.1	%		0.8	%
Mutual Fund		6,562		4,900		1,662			0.3	%		0.3	%
Other		5,549		5,549		-			0.3	%		0.3	%
Total Equities		49,554		40,159		9,395			2.6	%		2.2	%

Total Invested Assets	$	1,938,595	$	1,863,706	$	74,889			100.0	%		100.0	%

Corporate Portfolio by Sector

Energy	$	143,470	$	147,927	$	(4,457	)		12.1	%		12.9	%
Reits		129,841		121,493		8,349			10.9	%		10.6	%
Consumer Non Cyclical		126,403		123,233		3,170			10.6	%		10.8	%
Banking		123,833		118,378		5,456			10.4	%		10.3	%
Technology		95,909		93,177		2,732			8.1	%		8.1	%
Basic Industry		91,156		89,368		1,787			7.7	%		7.8	%
Electric		90,295		86,237		4,058			7.6	%		7.5	%
Insurance		79,070		74,666		4,404			6.7	%		6.5	%
Communications		76,107		71,135		4,972			6.4	%		6.2	%
Capital Goods		69,138		65,358		3,781			5.8	%		5.7	%
Consumer Cyclical		57,015		54,561		2,454			4.8	%		4.8	%
Transportation		35,757		34,707		1,049			3.0	%		3.0	%
Brokerage		30,281		28,733		1,548			2.6	%		2.5	%
Finance Companies		12,311		11,743		569			1.0	%		1.0	%
Natural Gas		9,980		9,307		673			0.8	%		0.8	%
Industrial Other		9,448		8,890		558			0.8	%		0.8	%
Financial Other		6,042		6,095		(54	)		0.5	%		0.5	%
Utility Other		1,048		997		51			0.1	%		0.1	%
Total Corporate portfolio	$	1,187,104	$	1,146,005	$	41,099			100.0	%		100.0	%

Fixed-Maturity Securities - Effective Maturity

Effective maturity
< 1 Yr.	$	115,021	$	114,002	$	1,019			6.7	%		6.9	%		3.01	%
1-2 Yrs.		153,351		148,416		4,936			9.0	%		9.0	%		4.94	%
2-5 Yrs.		718,410		678,304		40,106			41.9	%		41.2	%		4.80	%
5-10 Yrs.		675,205		659,523		15,683			39.4	%		40.0	%		4.18	%
> 10 Yrs.		51,336		47,586		3,750			3.0	%		2.9	%		5.28	%
Total Fixed Income	$	1,713,324	$	1,647,830	$	65,494			100.0	%		100.0	%		4.46	%

Duration

Fixed Income portfolio duration		4.1	years

Note: Investment Portfolio pages in this Financial Supplement exclude the Held to Maturity asset on our balance sheet.

13 of 16

Investment Portfolio - Quality Ratings As of March 31, 2016

PRIMERICA, INC.

Financial Supplement

(Dollars in thousands)
Investment Portfolio Quality Ratings (1)
	Amortized Cost		% of Total
Total Fixed Income portfolio:
Rating
AAA	$	274,389		16.7	%
AA		133,892		8.1	%
A		371,000		22.5	%
BBB		762,989		46.3	%
Below Investment Grade		105,259		6.4	%
NA		301		0.0	%
Total Fixed Income	$	1,647,830		100.0	%




	Amortized Cost		% of Total				Amortized Cost		% of Total
Corporate asset class:						Private asset class:
Rating						Rating
AAA	$	7,874		0.7	%	AAA	$	2,398		2.5	%
AA		60,274		5.3	%	AA		1,978		2.1	%
A		324,891		28.3	%	A		84,190		87.9	%
BBB		664,826		58.0	%	BBB		7,166		7.5	%
Below Investment Grade		88,037		7.7	%	Below Investment Grade		-		—
NA		103		0.0	%	NA		-		—
Total Corporate	$	1,146,005		100.0	%	Total Private	$	95,733		100.0	%



CMBS asset class:						Mortgage-Backed asset class:
Rating						Rating
AAA	$	96,194		95.9	%	AAA	$	81,613		94.7	%
AA		2,813		2.8	%	AA		1,788		2.1	%
A		-		—		A		1,574		1.8	%
BBB		1,257		1.3	%	BBB		1,181		1.4	%
Below Investment Grade		-		—		Below Investment Grade		-		—
NA		-		—		NA		-		—
Total CMBS	$	100,265		100.0	%	Total Mortgage-Backed	$	86,155		100.0	%



Asset-Backed asset class:						Treasury & Government asset classes:
Rating						Rating
AAA	$	33,585		78.8	%	AAA	$	54,559		32.6	%
AA		5,834		13.7	%	AA		63,401		37.9	%
A		2,954		6.9	%	A		35,593		21.3	%
BBB		27		0.1	%	BBB		8,038		4.8	%
Below Investment Grade		227		0.5	%	Below Investment Grade		5,850		3.5	%
NA		-		—		NA		-		—
Total Asset-Backed	$	42,626		100.0	%	Total Treasury & Government	$	167,441		100.0	%



NAIC Designations

1	$	588,894		43.0	%
2		675,085		49.3	%
3		77,644		5.7	%
4		16,377		1.2	%
5		9,230		0.7	%
6		1,691		0.1	%
U.S. Insurer Fixed Income (2)		1,368,921		100.0	%
Other (3)		319,069
Cash and cash equivalents		175,717
Total Invested Assets	$	1,863,706

(1)	Ratings method for split ratings: If by 2 NRSROs, use lower of the two; if by 3 or more NRSROs, use second lowest
(2)	NAIC ratings for our U.S. insurance companies' fixed income portfolios
(3)	Other consists of assets held by our non-life companies, Canadian insurance company, and unrated equities

Note: Investment Portfolio pages in this Financial Supplement exclude the Held to Maturity asset on our balance sheet.

14 of 16

Investment Portfolio - Supplemental Data and Trends

PRIMERICA, INC.

Financial Supplement

																YOY Q1
(Dollars in thousands)		Q1 2015			Q2 2015			Q3 2015			Q4 2015			Q1 2016		$ Change			% Change
Net Investment Income by Source
Fixed-maturity securities (available-for-sale)	$	19,795		$	19,551		$	18,786		$	19,140		$	19,249			(546	)		-2.8	%
Fixed-maturity securities (held-to-maturity)		2,475			2,707			3,772			4,094			4,154			1,679			67.8	%
Equity Securities		516			503			514			526			520			4			0.8	%
Deposit asset underlying 10% reinsurance treaty		1,672			(116	)		220			(1,294	)		2,200			528			31.6	%
Policy loans and other invested assets		359			337			354			318			330			(29	)		-8.1	%
Cash & cash equivalents		43			47			51			87			149			106		nm
Total investment income		24,860			23,029			23,697			22,871			26,602			1,742			7.0	%
Investment expenses		1,212			1,247			1,210			1,231			1,210			(2	)		-0.2	%
Interest Expense on Surplus Note		2,475			2,707			3,772			4,094			4,154			1,679			67.8	%
Net investment income	$	21,173		$	19,075		$	18,715		$	17,546		$	21,238			65			0.3	%
Fixed income book yield, end of period		4.53	%		4.51	%		4.54	%		4.40	%		4.46	%
New money yield		2.47	%		2.57	%		3.39	%		2.26	%		3.14	%

																YOY Q1
		Q1 2015			Q2 2015			Q3 2015			Q4 2015			Q1 2016		% Pt Change
Fixed Income Portfolio Quality Ratings
Rating
AAA		17.3	%		16.6	%		16.0	%		17.2	%		16.7	%		-0.6	%
AA		6.9	%		6.5	%		6.8	%		7.4	%		8.1	%		1.2	%
A		22.4	%		22.6	%		22.1	%		22.8	%		22.5	%		0.1	%
BBB		47.8	%		48.9	%		49.4	%		47.3	%		46.3	%		-1.5	%
Below Investment Grade		5.6	%		5.2	%		5.6	%		5.3	%		6.4	%		0.8	%
NA		0.0	%		0.0	%		0.0	%		0.0	%		0.0	%		-0.0	%
Total Fixed Income		100.0	%		100.0	%		100.0	%		100.0	%		100.0	%	nm

Average rating by amortized cost			A			A		A-			A-			A-		na

				As of March 31, 2016									As of March 31, 2016						As of March 31, 2016
				Market Value			Amortized Cost			Credit Rating			Market Value		Amortized Cost				Market Value		Amortized Cost
Top 25 Exposures											Foreign Exposure (1)						Government Investments (1)

	1	Canada		$	26,112		$	24,546		AAA	Australia		$	53,694	$	52,266	AAA		$	750	$	750
	2	General Electric Co			15,031			14,845		AA+	United Kingdom			45,154		43,402	AA			11,851		11,282
	3	Wells Fargo & Co			13,352			12,835		A	Canada			40,680		39,944	A			17,066		16,049
	4	Province of Ontario Canada			9,629			8,960		AA-	Bermuda			15,531		15,073	BBB			8,155		8,038
	5	National Rural Utilities Cooperative			9,311			7,765		A	Switzerland			14,991		15,088	Below Investment Grade			5,369		5,850
	6	Iberdrola SA			9,080			8,473		BBB	France			14,722		14,008	NA			0		0
	7	Anheuser-Busch InBev SA/NV			8,490			7,855		A-	Netherlands			14,143		13,769		Total	$	43,191	$	41,969
	8	National Fuel Gas Co			8,409			8,064		BBB	Belgium			13,094		11,723
	9	AT&T Inc			8,178			6,968		BBB+	Ireland			12,014		10,999
	10	TransCanada Corp			8,084			7,930		A	Brazil			11,586		12,483	Non-Government Investments (1)
	11	US Bancorp			7,847			7,379		A-	Germany			8,756		8,358
	12	Bank of America Corp			7,704			7,581		A-	Japan			7,953		7,696	AAA		$	—	$	—
	13	Macquarie Group Ltd			7,693			7,313		BBB-	Korea Republic Of			6,743		6,389	AA			14,880		14,321
	14	HSBC Holdings PLC			7,440			7,223		A	Luxembourg			6,279		5,913	A			87,383		83,622
	15	Prudential Financial Inc			7,400			7,159		A	Mexico			6,129		5,826	BBB			152,117		147,369
	16	Ingram Micro Inc			6,798			6,667		BBB-	Emerging Markets (2)			15,569		15,000	Below Investment Grade			22,993		22,906
	17	Republic of Korea			6,743			6,389		AA-	All Other			34,022		32,645	NA			495		393
	18	Intel Corp			6,358			6,038		A+		Total	$	321,059	$	310,581		Total	$	277,869	$	268,612
	19	ArcelorMittal			6,279			5,913		BB
	20	Altria Group Inc			6,240			5,221		BBB+
	21	Discovery Communications Inc			6,168			5,783		BBB-
	22	Discover Financial Services			5,871			5,176		BBB-
	23	Washington Real Estate Investment			5,870			5,695		BBB
	24	Avnet Inc			5,862			5,491		BBB-
	25	International Business Machines			5,860			5,426		AA-
			Total	$	215,812		$	202,693

			% of total fixed income portfolio		11.1	%		10.9	%

(1)	US$ denominated investments in issuers outside of the United States based on country of risk
(2)	Emerging markets is as defined by MSCI, Inc. which include Chile, India, Peru, Poland and South Africa
	Note: Investment Portfolio pages in this Financial Supplement exclude the Held to Maturity asset on our balance sheet.

15 of 16

Five-Year Historical Key Statistics

PRIMERICA, INC.

Financial Supplement

(Dollars in millions)	2011			2012			2013			2014			2015				Q1 2015			Q2 2015			Q3 2015			Q4 2015			Q1 2016


Recruits		244,756			191,752			186,251			190,439			228,115			53,300			60,246			65,945			48,624			63,427


Life-insurance licensed sales force, beginning of period		94,850			91,176			92,373			95,566			98,358			98,358			98,145			101,008			104,702			106,710
New life-licensed representatives		33,711			34,425			34,155			33,832			39,632			7,486			10,439			11,160			10,547			9,666
Non-renewal and terminated representatives		(37,385	)		(33,228	)		(30,962	)		(31,040	)		(31,280	)		(7,699	)		(7,576	)		(7,466	)		(8,539	)		(8,156	)
Life-insurance licensed sales force, end of period		91,176			92,373			95,566			98,358			106,710			98,145			101,008			104,702			106,710			108,220


Issued term life policies		237,535			222,558			214,617			220,984			260,059			55,677			68,097			66,658			69,627			66,376


Issued term life face amount	$	73,146		$	68,053		$	67,783		$	69,574		$	79,111		$	17,181		$	20,585		$	20,321		$	21,023		$	19,790


Term life face amount in force, beginning of period	$	656,791		$	664,955		$	670,412		$	674,868		$	681,927		$	681,927		$	678,517		$	688,163		$	689,316		$	693,194
Issued term life face amount		73,146			68,053			67,783			69,574			79,111			17,181			20,585			20,321			21,023			19,790
Terminated term life face amount		(66,951	)		(61,593	)		(57,730	)		(54,962	)		(53,580	)		(13,344	)		(12,064	)		(13,659	)		(14,513	)		(13,814	)
Foreign currency impact, net		1,970			(1,003	)		(5,596	)		(7,553	)		(14,263	)		(7,247	)		1,125			(5,509	)		(2,632	)		5,462
Term life face amount in force, end of period	$	664,955		$	670,412		$	674,868		$	681,927		$	693,194		$	678,517		$	688,163		$	689,316		$	693,194		$	704,632


Estimated annualized issued term life premium
Premium from new policies	$	187.6		$	176.1		$	173.5		$	179.8		$	212.4		$	45.1		$	55.3		$	54.5		$	57.4		$	54.0
Additions and increases in premium		44.9			45.5			48.6			51.6			54.9			12.8			14.0			13.7			14.4			14.0
Total estimated annualized issued term life premium	$	232.5		$	221.5		$	222.1		$	231.4		$	267.3		$	57.9		$	69.3		$	68.2		$	71.8		$	68.0


Investment & Savings product sales	$	4,265.1		$	4,712.2		$	5,208.8		$	5,682.3		$	5,856.8		$	1,514.8		$	1,566.8		$	1,366.8		$	1,408.6		$	1,375.9

Investment & Savings average client asset values	$	34,870		$	35,904		$	41,035		$	46,936		$	48,477		$	48,743		$	49,658		$	47,963		$	47,542		$	46,646

16 of 16

Attached files

Primerica, Inc. Reports

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