Power Financial Corp. is reporting earnings of $687 million or $1.91 per share before goodwill amortization, its share of specific adjustments recorded by Great-West Lifeco and other income for the nine months ending September 30.

This compares with $574 million or $1.59 per share for the corresponding period of last year.

The company says the goodwill amortization consists primarily of its share of goodwill amortization recorded by its subsidiaries. Goodwill amortization for 2001 was $68 million or 19¢ per share, compared with $39 million or 11¢ per share in 2000. It says the increase results from goodwill recorded by Investors Group Inc. on the acquisition of Mackenzie Financial Corp. during the second quarter of this year.

Power Financial’s share of specific adjustments recorded in 2001 by Great-West Lifeco, relating to Alta Health & Life Insurance Company and to claims provisions resulting from the U.S. events of September 11, amounted to $189 million or 55¢ per share.

Other income was $270 million or 78¢ per share in 2001, compared with $49 million or 14¢ per share in 2000. Other income in 2001 consisted of net non-recurring items of $198 million recorded during the second quarter of 2001 in connection with the acquisition of Mackenzie Financial as well as Power Financial’s share of gains attributable to the Pargesa group.

Net earnings, including other income, goodwill and specific adjustments, were $700 million or $1.95 per share in 2001, as against $584 million or $1.62 per share in 2000, representing an increase of 20% on a per share basis.

For the three months ending September 30 net earnings, including goodwill amortization, Power Financial’s share of adjustments recorded by Lifeco during the quarter in connection with the September 11 events and other income, were $206 million or 57¢ per share during the third quarter of 2001, the same figure as in the corresponding period of 2000.