(March 30 – 11:40 ET) – Power Financial Corporation’s share of operating earnings from its subsidiaries and affiliate increased to $736 million in 2000. That’s up from $621 million in 1999. The company says it’s growth reflects significant increases in the earnings of Great-West Lifeco Inc. and Investors Group Inc.

Other operating items, which include income from investments, operating expenses, interest expense, amortization and depreciation, and income taxes, brought the total operating results to $726 million, or $2.00 per share, up from $612 million, or $1.68 per share in 1999. That’s an increase of 19% on a per share basis.

Other income of a non-recurring nature, consisting primarily of the Corporation’s net share of gains realized within the Pargesa group, was $60 million, or $0.18 per share in 2000, compared to $222 million, or $0.64 per share in the previous year. Included in the 1999 figure was the significant gain resulting from the PetroFina Total merger recorded during the first quarter of that year.

As a result, Power Financial’s consolidated net earnings for 2000, including Other income of a non-recurring nature, amounted to $786 million, or $2.18 per share, compared to $834 million, or
$2.32 per share in the prior year.

Three Months’ Results For the three months ended December 31, 2000, the corporation’s share of earnings from its subsidiaries and affiliate was $192 million, compared to $165 million in 1999.

Great-West Lifeco Inc. reported net income attributable to common shareholders of $643 million, compared with $536 million in 1999, an increase of 20 per cent.

Investors Group Inc. reported net income of $284 million in 2000, compared with $236 million in 1999, an increase of 20 per cent.

Power Financial’s share of net operating earnings of its European affiliate, Pargesa Holding S.A., including the effect of negative currency fluctuations, was $44 million in 2000, nearly the same level as in 1999.

A quarterly dividend was declared on the Series A First Preferred Shares payable May 15, 2001 to shareholders of record April 24, 2001.
-IE Staff