COLUMBUS, Ga., Nov. 7, 2019 /PRNewswire/ -- Aflac Incorporated
(NYSE: AFL) announced today that it has completed its acquisition
of Florida-based Argus Holdings,
LLC and its subsidiary Argus Dental & Vision, Inc. (Argus), a
premier benefits organization and national network dental and
vision company.
"It is an exciting time for Aflac, our customers and our
producers. We are thrilled Argus has joined forces with Aflac to
advance our vision of being the number one distributor of benefit
solutions to the U.S. workforce," said Teresa L. White, president of Aflac U.S.
"Aflac's expansion into network dental and vision further positions
us to offer more choices than ever before."
Argus was founded by its President and CEO Nicholas M. Kavouklis, D.M.D. in 2006. The
company services nearly one million dental and vision members,
providing benefits management solutions to Medicare Advantage,
Medicaid, and Children's Health Insurance Program (CHIP)
carriers. In addition, the company offers both group and individual
network dental and vision insurance plans to employers and
individuals. Argus has an established national footprint, serving
as a Third-Party Administrator (TPA) in 48 states. Argus will
remain under the continued leadership of Dr. Nicholas M. Kavouklis.
As communicated when announced in July
2019, the transaction will not alter Aflac Incorporated's
earnings or capital management outlook for 2019, including share
repurchase guidance of $1.3 to
$1.7 billion for 2019. The
acquisition is not expected to impact Aflac U.S. financial guidance
for 2019.
Argus President and CEO Dr. Nicholas M.
Kavouklis said: "I'm excited that Tampa, Fla., will be the home for the new
Aflac U.S. Network Dental and Vision platform. We are enthused to
join the Aflac family and look forward to growing the Aflac U.S.
Network Dental and Vision business."
Richard L. Williams Jr.,
executive vice president and chief distribution officer of Aflac
U.S., added, "Aflac was founded on the straightforward principle of
helping provide our policyholders with financial protection and
solutions that benefit their lives. The expansion of Aflac's
product portfolio into network dental and vision moves us to the
front page of the benefit enrollment process for employees. From
there, we believe Aflac's powerful brand and wide-reaching
distribution will boost our access and opportunities to provide
more solutions to producers and policyholders."
About Aflac Incorporated
Aflac Incorporated (NYSE:
AFL) is a Fortune 500 company, helping provide protection to more
than 50 million people through its subsidiaries in Japan and the U.S., where it is a leading
supplemental insurer by paying cash fast when policyholders get
sick or injured. For more than six decades, insurance policies of
Aflac Incorporated's subsidiaries have given policyholders the
opportunity to focus on recovery, not financial stress. Aflac Life
Insurance Japan is the leading provider of medical and cancer
insurance in Japan where it
insures 1 in 4 households. Through its trailblazing One Day
PaySM initiative in the United
States, for eligible claims, Aflac can process, approve and
electronically send funds to claimants for quick access to cash in
just one business day. For 13 consecutive years, Aflac has been
recognized by Ethisphere as one of the World's Most Ethical
Companies. In 2018, Fortune magazine recognized Aflac as one of the
100 Best Companies to Work for in America for the 20th consecutive
year and in 2019 Fortune included Aflac on its list of World's Most
Admired Companies for the 18th time. To find out more about One Day
PaySM and learn how to get help with expenses health
insurance doesn't cover, get to know us at aflac.com.
Forward-looking Information
The Private Securities
Litigation Reform Act of 1995 provides a "safe harbor" to encourage
companies to provide prospective information, so long as those
informational statements are identified as forward-looking and are
accompanied by meaningful cautionary statements identifying
important factors that could cause actual results to differ
materially from those included in the forward-looking statements.
The company desires to take advantage of these provisions. This
document contains cautionary statements identifying important
factors that could cause actual results to differ materially from
those projected herein, and in any other statements made by company
officials in communications with the financial community and
contained in documents filed with the Securities and Exchange
Commission (SEC). Forward-looking statements are not based on
historical information and relate to future operations, strategies,
financial results or other developments. Furthermore,
forward-looking information is subject to numerous assumptions,
risks and uncertainties. In particular, statements containing words
such as "expect," "anticipate," "believe," "goal," "objective,"
"may," "should," "estimate," "intends," "projects," "will,"
"assumes," "potential," "target," "outlook" or similar words as
well as specific projections of future results, generally qualify
as forward-looking. Aflac undertakes no obligation to update such
forward-looking statements.
The company cautions readers that the following factors, in
addition to other factors mentioned from time to time, could cause
actual results to differ materially from those contemplated by the
forward-looking statements:
- events related to the ongoing Japan Post
investigation
- difficult conditions in global capital markets and the
economy
- exposure to significant interest rate risk
- concentration of business in Japan
- foreign currency fluctuations in the yen/dollar exchange
rate
- limited availability of acceptable yen-denominated
investments
- U.S. tax audit risk related to conversion of the
Japan branch to a
subsidiary
- deviations in actual experience from pricing and reserving
assumptions
- ability to continue to develop and implement improvements in
information technology systems
- competitive environment and ability to anticipate and
respond to market trends
- ability to protect the Aflac brand and the Company's
reputation
- ability to attract and retain qualified sales associates,
brokers, employees, and distribution partners
- interruption in telecommunication, information technology
and other operational systems, or a failure to maintain the
security, confidentiality or privacy of sensitive data residing on
such systems
- failure to comply with restrictions on patient privacy and
information security
- extensive regulation and changes in law or regulation by
governmental authorities
- tax rates applicable to the Company may change
- defaults and credit downgrades of investments
- decline in creditworthiness of other financial
institutions
- significant valuation judgments in determination of amount
of impairments taken on the Company's investments
- subsidiaries' ability to pay dividends to the Parent
Company
- decreases in the Company's financial strength or debt
ratings
- inherent limitations to risk management policies and
procedures
- concentration of the Company's investments in any particular
single-issuer or sector
- differing judgments applied to investment
valuations
- ability to effectively manage key executive
succession
- catastrophic events including, but not necessarily limited
to, epidemics, pandemics, tornadoes, hurricanes, earthquakes,
tsunamis, war or other military action, terrorism or other acts of
violence, and damage incidental to such events
- changes in accounting standards
- increased expenses and reduced profitability resulting from
changes in assumptions for pension and other postretirement benefit
plans
- level and outcome of litigation
- allegations or determinations of worker misclassification in
the United States
Analyst and investor contact - David A.
Young, 706.596.3264, 800.235.2667 or dyoung@aflac.com
Media contact - Catherine H.
Blades, 706.596.3014; FAX: 706.320.2288 or
cblades@aflac.com
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SOURCE Aflac Incorporated