2012 net income per share was positively impacted by growth in the volume of business in force and capital management actions taken throughout the year. 2011 net income was negatively impacted by a $2.43 per share loss related to the sale of EquiTrust Life Insurance Company and related debt redemption. This subsidiary was sold in 2011 to reduce risk of the overall enterprise, increase financial flexibility and enable capital management. 

Operating income grew 18% in 2012 to $82.8 million, or $2.97 per share, reflecting the growing business of Farm Bureau Life, spread management and execution of capital management strategies.

FBL’s total capitalization exceeds $1.3 billion. The debt-to-total capitalization ratio, with equity credit for trust preferreds and securities at cost, was a low 4.7% at year-end 2012.

Farm Bureau Life is well-capitalized with excellent company action level risk based capital, or RBC, of 504%, an increase from 465% in 2011.

GAAP book value grew by 21% in 2012 reflecting solid earnings, higher investment valuations and the impact of repurchasing shares at a discount to book value.