NU Online News Service, July 3, 11:10 a.m. – Horace Mann Educators Corp., Springfield, Corp., estimates it will report about $26 million in investment losses for the second quarter because of problems with notes issued by WorldCom Inc., Clinton, Miss., and other communications companies.
Horace Mann emphasizes that it has $3.3 billion in invested assets, and that the losses on the communications investments will have little effect on the company's financial condition.
Horace Mann, a multiline insurer that focuses on selling insurance to teachers, says it held $18 million in WorldCom bonds at the beginning of the second quarter. The company lost $8.1 million during the quarter on the sale of $14.6 million of the bonds, then wrote off most of the value of the WorldCom bonds still in its portfolio.
