Conseco, Out Of Bankruptcy, Unveils Recovery Roadmap
In its first earnings report since exiting from bankruptcy, Conseco Inc. vowed to reclaim stronger ratings going forward.
The top priority will be to get ratings raised with a second, related priority being to refinance current expensive debt with cheaper bank debt and preferred stock issues, according to CEO Bill Shea.
An aggressive fix of the long term care business in Consecos Insurance Group will be one of the ways post-bankruptcy Conseco becomes a stronger company, he promises.
Shea distinguishes between the Insurance Groups LTC business and the LTC business on the books at its Bankers Life and Casualty, which he says is healthy.
Indeed, in its 2003 earnings report for third quarter and nine months, Conseco says projected LTC loss ratios at Bankers are 65%-85% compared with 100%-120% at the Insurance Group over the next several years.