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Aflac Incorporated Announces First Quarter Results, Declares Second Quarter Cash Dividend
Date:4/23/2008

were consistent with our targets. We were especially pleased to see a continued recovery in new sales. Our sales increase of 5.0% exceeded our expectations. Furthermore, the addition of banks as a distribution channel should help Aflac Japan achieve its sales objective of a 3% to 7% increase in yen for 2008.

"Our financial results for Aflac U.S. were also good. Our top line was consistent with our outlook and pretax operating earnings were better than expected, although we anticipated our sales would be a bit higher. However, from the start of February through the third week of April, our U.S. sales increased 6.5%. It will clearly be more challenging to achieve our 2008 sales objective of an 8% to 12% increase, but we still believe it is attainable.

"As a result of our solid first quarter, our increased confidence has allowed us to narrow our target from a 13% to 15% increase in operating earnings per diluted share this year, before the effect of foreign currency, to a 14% to 15% increase. A 14% to 15% increase would result in $3.73 to $3.76 in reported operating earnings per diluted share, assuming the same average exchange rate in 2008, compared with 2007. However, so far this year the yen is significantly stronger to the dollar than it was a year ago. If the stronger yen persists throughout the year, it will favorably impact our reported results in dollar terms. Assuming the yen averages 100 to 105 for the year, we would expect to report operating earnings per diluted share of $3.95 to $4.09 in 2008. Using that same exchange rate assumption, we would expect second quarter operating earnings to be $1.00 to $1.02 per diluted share."

For more than 50 years, Aflac products have given policyholders the opportunity to direct cash where it is needed most when a life-interrupting medical event causes financial challenges. Aflac is the number one provider of guaranteed-renewable insurance in the United States and the number one insurance company in te
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SOURCE Aflac Incorporated
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