US$300 million reserve financing transaction for Banner Life Insurance Company
London – September 8, 2009 - Banner Life Insurance Company ("Banner Life"), the principal
operating subsidiary of Legal & General America, Inc. and a member of the Legal & General Group
Plc, and Calyon, the Corporate and Investment Banking arm of the Crédit Agricole Group, jointly
announce a US$300 million reserve financing transaction closed in June 2009.
Legal & General America has completed a “Regulation XXX” reserve financing transaction for its
subsidiary Banner Life Insurance Company. The US$300 million transaction was arranged by Calyon.
Reinsurance credit is provided by First British Bermuda Reinsurance Company II, Ltd (a wholly-owned
Legal & General America reinsurance captive subsidiary) to Banner Life Insurance Company through
a letter of credit issued by Calyon.
The transaction allows First British Bermuda Reinsurance Company II, Ltd ("FBBRC II") to provide
reserve credit to its parent company, Banner Life, for “Regulation XXX” reserve requirements on a
block of level premium term life insurance business. The transaction was successfully executed
despite challenging market conditions and provides a cost effective solution for “Regulation XXX”
requirements in the United States. Calyon acted as Sole Structuring Agent and Sole Lead Arranger.
The financing covers a portfolio of 10-, 15-, 20- and 30-year level premium term products to be
originated by Banner Life during 2009 and 2010.
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For further information, please contact:
Banner Life Insurance Company
Bryan R. Newcombe
Global Head of Communications
Vice President, Secretary & General Counsel
Fixed Income Markets
Tel: + 44 (0) 20 7214 6610
Tel: + 1 (301) 294-6968
About Banner Life Insurance Company