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It is important to know that the company you trust to help you plan for your family's financial security is financially sound. With Presidential Life, you'll have no doubt.

Presidential Life is a New York-domiciled, New York-regulated life insurance and annuity company that has been helping people just like you achieve financial security since 1965. From its modest local beginnings in Rockland County, Presidential has developed into a company with a national network of regional sales directors supporting a field force of more than 16,500 independent financial services professionals active in 49 states and the District of Columbia. Annual premium sales of approximately $250 million in premium today, and the Company's assets exceed $3.9 billion (statutory), of which 492 million represents the Company's capital and surplus (IMR & AVR).

A.M. Best, the oldest insurance rating agency in the United States, has determined that Presidential Life is financially strong and has given it a rating of B+ ( Good), citing the company as having ". . . a good ability to meet their ongoing obligations to policyholders." In addition, Standard & Poor's Corporation (S&P), a leading provider of credit analysis, rates Presidential Life's financial strength BB along with other companies listed in its "secure range" because they exhibit "secure claims - paying abilities."
   
  To learn more about Presidential Life's financial strength, click on one of the hyperlinks listed below:
  • Financial Highlights
  • Presidential's Bond Portfolio
  • Presidential Life Insurance Company Statutory Results
  • Presidential Life Corporation GAAP Results
  • Current A.M. Best Report
  • Recent SEC Filings
    • By opting to choose the access to the above linked sites, which are third party Internet sites that are publicly available through the Internet, you will be leaving the Presidential Life Corporation site. Linked sites are provided only as a convenience to you. The inclusion of such links is neither an endorsement by Presidential Life Corporation, implied or otherwise, of the linked site or any products or services in such site nor a recommendation or suggestion that such linked site need be reviewed or consulted. Presidential Life Corporation has not reviewed any of the sites linked to these sites, and is not responsible for the content of off-site pages or any other linked or linking to these sites. Your linking to any off-site pages or other sites is at your own risk. Please refer to the Terms of Use of the site to which you are transferring.
 
*Including investment reserves (AVR and IMR)
   
 
 

PRESIDENTIAL LIFE INSURANCE COMPANY
as of 12/31/07

FOUNDED: 1965

ASSETS: $3.93 Billion (statutory) $4.06 Billion (GAAP)

PARENT: Presidential Life is a wholly-owned subsidiary of Presidential Life
Corporation, a publicly-owned holding company.
A.M. BEST RATING: B+ ( Good)

S&P RATING: BB+ (Upgraded as of 4-29-08)

FITCH RATING: Aq (Strong)

CAPITAL & SURPLUS TO LIABILITIES: 14.32%

INVESTMENT GRADE BONDS: 94.5%

STATES: Admitted to D.C. and all states except New Hampshire.


MARKETING PROFILE:
A financially stable New York-domiciled company doing business in 49 states and the District of Columbia, Presidential Life offers a broad portfolio of Life Insurance and Annuities emphasizing substantial guarantees and highly competitive initial and renewal rates.

 
 
 
PRESIDENTIAL LIFE INSURANCE COMPANY
is located in Nyack, New York 10960
1-800-926-7599 or 1-888-PRES LIF Fax: 845-353-0273


 



INVESTED ASSETS
(in millions)
 
12/31/07 12/31/06
 
$
 %
$
 %
   Cash/Short Term 363.0 9.45     811.9 19.4     
   U. S. Treasury/Agencies 510.1 13.28     468.5 11.2     
   Foreign Government 8.9 0.23     8.8 0.2     
   Public Utilities 436.4 11.36     342.1 8.2     
   Real Estate 0.4 0.01     0.4 0.1     
   Corporates 2,076.7 54.07     2,100.7 50.2     
   Preferred Stocks 121.2 3.16     129.1 3.1     
   Common Stocks 8.7 0.23     27.4 0.6     
   Payor Swaption 7.0 0.18     9.8 0.2     
   Other Invested Assets 289.3 7.53     268.0 6.4     
   Policy Loans 19.2 0.50     18.0 0.4     
   TOTAL 3,840.90 100.0     4,184.7 100.0     

 



CREDIT QUALITY DISTRIBUTION
(in millions)
 
       12/31/07       12/31/06   
NAIC
Rating
Equivalent
Public Ratings Moody's/S&P
               
   $                   %          $                   %      
1   Aaa/AAA 643.2 18.97 567.3 19.4
   Aa/A 338.9 10.0 265.9 9.1
   A/A 1,236.30 36.47 94.55 947.7 32.5 92.7
2   Baa/BBB 986.8 29.11 925.9 31.7
3   Ba/BB 116.4 3.43 144.0 4.9
4   B/B 48.0 1.42 50.7 1.8
5   Caa 20.4 0.60 15.7 0.5
6   Ca + Lower 0.3 0.01 2.9 0.1
   TOTAL $3,390.3 100 2,920.1 100

 

PRESIDENTIAL LIFE INSURANCE COMPANY

(in thousands)

  12/31/2007 12/31/2006
  ASSETS
   
  Fixed Maturities
3,153,327 3,049,249
  Common Stocks
8,690 27,407
  Derivative Instruments
7,005 9,784
  Policy Loans
19,194 17,965
  Cash & Short Term Investments
340,384 806,583
  Other Invested Assets
289,341 267,974
  Other Assets
107,751 98,345
  TOTAL ASSETS
3,925,692 4,277,307
     
  LIABILITIES
   
  Policy Reserves
3,423,849 3,809,712
  Other Liabilities
9,976 20,395
  TOTAL
3,433,825 3,830,107
     
  CAPITAL, SURPLUS, AND INVESTMENT RESERVES
   
  Asset Valuation Reserve
57,938 50,159
  Interest Maintenance Reserve
73,556 66,937
  Capital and Surplus
360,373 330,104
  TOTAL
491,867 447,200
     
  TOTAL LIABILITIES, CAPITAL AND SURPLUS
3,925,692 4,277,307

 



PRESIDENTIAL LIFE INSURANCE COMPANY


(in thousands)

  12/31/2007 12/31/2006
  REVENUES
   
  Insurance Revenues
147,369 173,112
  Net Investment Income
280,320 299,272
  Other
4,661 4,622
  TOTAL REVENUES
432,350 477,006
     
  BENEFITS & EXPENSES
   
  Benefit Payments
689,355 642,155
  Changes to Reserve Liabilities
(359,840) (275,733)
  Insurance Expenses & Taxes
26,208 27,646
     
  TOTAL BENEFITS & EXPENSES
355,723 394,068
     
  OPERATING INCOME BEFORE TAXES
76,627 82,938
  Federal Income Taxes
20,459 (1,035)
     
  OPERATING INCOME, NET
56,168 83,973
  Realized Capital Gains, Net
2,973 (8,997)
     
  NET INCOME
59,141 74,976
 



PRESIDENTIAL LIFE CORPORATION
Nasdaq Symbol PLFE





FOR IMMEDIATE RELEASE



March 7, 2008

Presidential Life Corporation (PLFE) had 2007 net income of $63.7 million ($2.16 per share) compared to $49.7 million ($1.69 per share) for 2006. Net income for the 4th quarter 2007 was $4.0 million ($0.14 per share), compared with $7.9 million ($.27 per share) for the same period in 2006.

Operating income for 2007 was $53.3 million ($1.81 per share) compared to $52.3 million ($1.78 per share) for 2006. Operating income for the 4th quarter 2007 was $13.7 million ($0.47 per share) compared with $13.3 million ($0.45 per share) for the same period in 2006.



Book value per share at December 31, 2007 … $22.40 (based on 29,553,710 shares outstanding).

For further discussion and analysis refer to Presidential’s website at www.presidentiallife.com.
Access the Financial Data tab and select Recent SEC Filings to review the 10K.
.

   
                                                                     
2007
      2006
Total
(000)
  Per
Share
  Total
(000)
  Per
Share
 
Operating Income        
    First Quarter   $ 12,178   $ .42   $ 13,326   $ .45
    Second Quarter   11,532   .39   8,407   .29
    Third Quarter   15,800   .53   17,233   .59
    Fourth Quarter   13,741   .47   13,315   .45
        Twelve Months   $ 53,251   $ 1.81   $ 52,281   $ 1.78
 
Net Investment Gains *        
    First Quarter   $ 8,927   $ .30   $ 7,092   $ .24
    Second Quarter   12,430   .42   9,196   .31
    Third Quarter   (1,182)   (.04)   (13,469)   (.46)
    Fourth Quarter   (9,744)   (.33)   (5,386)   (.18)
        Twelve Months   $ 10,431   $ .35   $ (2,567)   $ (.09)
 
Net Income        
    First Quarter   $ 21,105   $ .72   $ 20,418   $ .69
    Second Quarter   23,962   .81   17,603   .60
    Third Quarter   14,618   .49   3,764   .13
    Fourth Quarter   3,997   .14   7,929   .27
        Twelve Months   $ 63,682   $ 2.16   $ 49,714   $ 1.69

* Net of losses and tax effects. Quarterly results are unaudited.
 



PRESIDENTIAL LIFE CORPORATION AND SUBSIDIARIES


(In thousands, except share data)

 
Twelve Months Ended
December 31 (unaudited)
Twelve Months Ended
December 31 (unaudited)
 
.
2007
2006
2005
  REVENUES:
       
  Insurance revenues
. 43,022 44,348 42,028
  Net investment income
. 294,860 316,415 339,711
  Realized investment gains (losses)
. 24,833 (3,607) 75,010
  Other income
. 1,410 1,670 1,832
Total Revenues . 364,125 358,826 458,581
         
  BENEFITS AND EXPENSES:
       
  Benefits
. 91,044 90,069 88,273
  Interest credited to policies, expenses on notes payable and other charges
. 138,984 163,217 176,140
  Increase in liability for future policy benefits
. (3,222) (636) 966
  Selling, General & Administrative expenses
. 40,659 36,013 44,990
 
Total Benefits and Expense
. 267,465 288,663 310,369
         
  Income before taxes
. 96,660 70,163 148,212
         
  PROVISION FOR INCOME TAXES
. 32,978 20,450 56,623
         
  NET INCOME
. 63,682 49,713 91,589
         
  Earnings per common share
. $2.16 $1.69 $3.12
         
         
  Weighted average number of shares outstanding during the period, basic
. 29,523,089 29,449,256 29,387,323


  LEGAL