New Woodmen of the World President posts letter on financial turmoil

2008-11-05 / Community

(Omaha, NE) - Woodmen of the World President and CEO Danny E. Cummins, has posted a letter to members on the fraternal benefit organization's corporate Web site, www.woodmen. org, addressing the current economic climate.

Woodmen of the World membership is heavily concentrated in the South and Southeast. More than 95,000 members live in Georgia.

Cummins' message states:

"The recent turmoil in the financial markets has been unsettling for all of us. Bank failures are a reminder of darker times in American history and many people don't know which financial institutions they can trust. In times like these, you can rest assured that Woodmen of the World takes our commitment to members very seriously.

"Various rating organizations annually review the financial strength and solvency of insurance companies. One of these is A.M. Best, an independent rating company that is nationally recognized for its objective reporting and rating of insurers. Woodmen of the World has been awarded a rating of A+ with a stable outlook by A.M. Best for our financial strength and operating performance. A+ (Superior) is the second-highest of 15 ratings.

"Insurance companies certainly are not immune to falling prices in the stock market, and some insurers had sizable exposure to sub-prime mortgages, as well. But Woodmen of the World has no sub-prime mortgage investments, and 97% of our bond portfolio is "investment grade." Our exposure to troubled financial companies, such as Lehman and AIG, represent less than 1% of our assets.

"As a member-owned organization, we understand what is truly important - keeping our long-term promises. We recognize that we are in the business of managing risk, and our capital position remains near an all-time high.

"Our conservative investment policy has guided us securely through the last 118 years, and we do not anticipate any changes due to the current state of the economy or volatility in the financial markets. We believe in our vision of being the most trusted financial services provider with valued member benefits and programs, and our core value of stewardship is put into practice every day with our rocksolid investment philosophy.

"Keeping our promises for the next 118 years - that is what we strive for. Thank you for continued trust in Woodmen of the World." -Danny E. Cummins, President & CEO

Woodmen of the World Area Manager Ron Kirkland of Bainbridge said that he is confident that the current economic uncertainty will eventually subside, but in the meantime, he is more than willing to answer members', or prospective members' questions. He can be reached at (229) 248-4939.

Woodmen of the World was founded in 1890 as a fraternal benefit organization. Today, Woodmen of the World offers insurance, annuities, mutual funds*, and 529 college savings plans*. More than 750,000 Woodmen of the World members across the country share a commitment to family, community and country.

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