Street’s insurance subsidiaries to make cash distributions to FGL or Front Street, as applicable (including dividends or payments on surplus notes FGL’s subsidiaries issue to FGL);
| | • | the impact of potential litigation, including class action litigation; |
| | • | the impact of FGL’s reinsurers failing to meet or timely meet their assumed obligations, increasing their reinsurance rates, or becoming subject to adverse developments that could materially adversely impact their ability to provide reinsurance to FGL at consistent and economical terms; |
| | • | restrictions on FGL’s ability to use captive reinsurers; |
| | • | FGL and Front Street being forced to sell investments at a loss to cover policyholder withdrawals; |
| | • | the impact of interest rate fluctuations on FGL and Front Street and withdrawal demands in excess of FGL’s and Front Street’s assumptions; |
| | • | the impact of market and credit risks; |
| | • | equity market volatility; |
| | • | credit market volatility or disruption; |
| | • | changes in the federal income tax laws and regulations which may affect the relative income tax advantages of FGL’s products; |
| | • | the performance of third parties, including independent distributors, underwriters, actuarial consultants and other service providers; |
| | • | interruption or other operational failures in telecommunication, information technology and other operational systems, or a failure to maintain the security, integrity, confidentiality or privacy of sensitive data residing on such systems; |
| | • | the continued availability of capital required for FGL’s and Front Street’s insurance subsidiaries to grow; |
| | • | the impact on FGL’s or Front Street’s business of new accounting rules or changes to existing accounting rules; |
| | • | the risk that FGL’s or Front Street’s exposure to unidentified or unanticipated risk is not adequately addressed by their risk management policies and procedures; |
| | • | general economic conditions and other factors, including prevailing interest and unemployment rate levels and stock and credit market performance; |
| | • | FGL’s ability to protect its intellectual property; |
| | • | difficulties arising from FGL’s and Front Street’s outsourcing relationships; |
| | • | the impact on FGL’s and Front Street’s business of natural and of man-made catastrophes, pandemics, computer viruses, network security breaches, and malicious and terrorist acts; |
| | • | FGL’s and Front Street’s ability to compete in a highly competitive industry; |
| | • | FGL’s and Front Street’s ability to maintain competitive policy expense costs; |
| | • | adverse consequences if the independent contractor status of FGL’s independent insurance marketing organizations is successfully challenged; |
| | • | FGL’s ability to attract and retain national marketing organizations and independent agents; |
| | • | the potential adverse tax consequences to FGL if FGL generates passive income in excess of operating expenses; |
| | • | the significant operating and financial restrictions contained in FGL’s debt agreements, which may prevent FGL from capitalizing on business opportunities; |
| | • | the inability of FGL’s and Front Street’s subsidiaries and affiliates to generate sufficient cash to service all of their obligations; |
| | • | conflicts of interest between HRG or its affiliates; |
| | • | the impact on FGL and Front Street of non-performance of loans originated by Salus (as defined below); |
| | • | the ability of FGL’s and Front Street’s subsidiaries to pay dividends; and |
| | • | the ability to maintain or obtain approval of the Iowa Insurance Division and other regulatory authorities as required for FGL’s operations and those of its insurance subsidiaries. |
The Asset Managers, comprised of CorAmerica Capital, LLC (“CorAmerica”), Energy & Infrastructure Capital, LLC (“EIC”) and Salus Capital Partners, LLC (“Salus”) The Asset Managers’ actual results or other outcomes may differ from those expressed or implied by the forward-looking statements contained herein due to a variety of important factors, including, without limitation, the following:
| | • | their respective abilities, as applicable, to recover amounts that are contractually owed to them by their borrowers; |
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