NU Online News Service, Feb. 7, 2:58 p.m. – The MONY Group Inc., New York, is reporting an $88 million net loss for the fourth quarter of 2001 on $525 million in revenue, compared with $9.1 million in net income on $473 million in revenue for the fourth quarter of 2000.
MONY, a company that sells life insurance, variable annuities, mutual funds and investment services, took a $95 million charge in the quarter. The charge includes $37 million for closing offices and cutting career agents, and $58 million for investment losses and asset write-offs, the company says.
Adjusted operating income, which excludes the charge, fell to $6.9 million for the quarter, from $21 million.
New mutual fund sales were down, and new life sales through career agents fell to $26 million, from $34 million, MONY says.
But MONY’s “complementary distribution channel,” which focuses on corporate-owned life insurance, increased its new life sales to $22 million, from $14 million, and MONY managed to increase new variable annuity sales to $121 million, from $99 million.