WEST DES MOINES, Iowa--(BUSINESS WIRE)--FBL Financial Group, Inc. (NYSE: FFG) today announces a 4.5% increase in its quarterly cash dividend to $0.46 per share, a special cash dividend of $1.50 per share and authorization for the repurchase of up to $50 million of its Class A common stock.
“2017 was a record earnings year for FBL Financial Group and our business continues to generate excess capital,” said James P. Brannen, Chief Executive Officer of FBL Financial Group, Inc. “The payment of this special cash dividend and increasing our regular quarterly dividend demonstrates confidence in our business and the commitment to returning cash to shareholders.”
Quarterly Dividend Increase to $0.46 Per Share. FBL Financial Group’s Board of Directors has declared a quarterly cash dividend of $0.46 per share, payable on March 29, 2018 to Class A and Class B common stockholders of record as of March 15, 2018. This represents a 4.5% increase from the prior quarterly dividend of $0.44 per share paid in December 2017, and reflects an annual indicated dividend rate of $1.84 per share. Based on this dividend rate, FBL Financial Group’s indicated dividend yield is currently 2.8 percent.
Special Cash Dividend of $1.50 Per Share. FBL Financial Group’s Board of Directors has declared a special cash dividend of $1.50 per share, payable on March 29, 2018 to Class A and Class B common stockholders of record as of March 15, 2018. The total amount of the special cash dividend payment is estimated to be approximately $37 million.
Stock Repurchase. The Board of Directors has authorized the repurchase of up to $50 million of FBL Financial Group’s Class A common stock. This new repurchase program will commence upon the earlier of the completion of the current $50 million repurchase program or its expiration on March 31, 2018. The new repurchase program authorizes FBL Financial Group to make repurchases in the open market or through privately negotiated transactions, with the timing and terms of the purchases to be determined by management based on market conditions. Completion of the program is dependent on market conditions and other factors. There is no guarantee as to the exact timing of any repurchases or the number of shares, if any, that FBL Financial Group will repurchase. The new share repurchase program will remain open through March 31, 2022.
FBL Financial Group is a holding company whose purpose is to protect livelihoods and futures. Its primary operating subsidiary, Farm Bureau Life Insurance Company, underwrites and markets a broad range of life insurance and annuities to individuals and businesses, which are distributed by multiline exclusive Farm Bureau agents. In addition, FBL Financial Group manages all aspects of two Farm Bureau affiliated property-casualty insurance companies for a management fee. FBL Financial Group, headquartered in West Des Moines, Iowa, is traded on the New York Stock Exchange under the symbol FFG. For more information, please visit www.fblfinancial.com.