SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
________________
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(D) OF THE
SECURITIES EXCHANGE ACT OF 1934
DATE OF REPORT (DATE OF EARLIEST EVENT REPORTED) JULY 25, 1996
SUNAMERICA INC.
(EXACT NAME OF REGISTRANT AS SPECIFIED IN CHARTER)
MARYLAND 1-4618 86-0176061
(STATE OR OTHER JURISDICTION (COMMISSION (IRS EMPLOYER
OF INCORPORATION) FILE NUMBER) IDENTIFICATION NO.)
1 SUNAMERICA CENTER
LOS ANGELES, CALIFORNIA 90067-6022
(ADDRESS OF PRINCIPAL EXECUTIVE OFFICES) (ZIP CODE)
Registrant's telephone number, including
area code (310) 772-6000
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Item 5. Other Events
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The Registrant has released financial position and earnings
information as of and for the periods ended June 30, 1996.
See the attached Condensed Consolidated Balance Sheet and
Consolidated Income Statement.
Item 7. Financial Statements, Pro Forma Financial Information and
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Exhibits
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(c) Exhibits
Exhibit 20(a) Condensed Consolidated Balance Sheet
Exhibit 20(b) Consolidated Income Statement
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of
1934, the registrant has duly caused this report to be signed on its behalf by
the undersigned hereunto duly authorized.
SUNAMERICA INC.
Date: July 25, 1996 By: /s/ SCOTT L. ROBINSON
-----------------------------
Scott L. Robinson
Senior Vice President
and Controller
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<TABLE>
EXHIBIT 20(a)
SUNAMERICA INC.
CONDENSED CONSOLIDATED BALANCE SHEET
(In thousands - unaudited)
<CAPTION>
June 30, September 30,
1996 1995
-------------- -------------
<S> <C> <C>
ASSETS
Cash and short-term investments $ 725,591 $ 855,350
Bonds, notes and redeemable preferred stocks:
Available for sale, at fair value 12,479,450 6,584,488
Held for investment, at amortized cost -- 718,283
Mortgage loans 1,587,211 1,543,285
Common stocks, at fair value 56,265 39,906
Partnerships 1,007,814 774,417
Real estate 106,199 105,637
Other invested assets 190,237 187,593
-------------- --------------
Total investments 16,152,767 10,808,959
Variable annuity assets 6,083,369 5,263,006
Deferred acquisition costs 781,612 526,415
Other assets 382,359 245,787
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TOTAL ASSETS $ 23,400,107 $ 16,844,167
============== ==============
LIABILITIES AND SHAREHOLDERS' EQUITY
Reserves for fixed annuity contracts $ 9,622,137 $ 4,862,250
Reserves for guaranteed investment contracts 4,102,787 3,607,192
Trust deposits 423,790 426,595
Senior indebtedness 573,335 524,835
Variable annuity liabilities 6,083,369 5,263,006
Payable to brokers for purchases of securities 324,037 473,728
Other payables, accrued liabilities and
deferred income taxes 506,816 420,852
Preferred securities of grantor trusts 237,631 52,631
Shareholders' equity 1,526,205 1,213,078
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TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY $ 23,400,107 $ 16,844,167
============== ==============
</TABLE>
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<TABLE>
EXHIBIT 20(b)
SUNAMERICA INC.
CONSOLIDATED INCOME STATEMENT
(In thousands, except per-share amounts)
(Unaudited)
<CAPTION>
Three months ended June 30, Nine months ended June 30,
---------------------------- ----------------------------
1996 1995 1996 1995
-------------- ----------- ------------- -----------
<S> <C> <C> <C> <C>
Net investment income $ 347,544 $ 233,261 $ 889,072 $ 650,885
-------------- ----------- ------------ ----------
Interest expense on:
Fixed annuity contracts (126,892) (67,940) (284,576) (190,284)
Guaranteed investment
contracts (64,440) (54,215) (185,782) (151,776)
Trust deposits (2,462) (2,625) (7,585) (7,901)
Senior indebtedness (20,046) (13,413) (53,112) (41,031)
-------------- ----------- ------------ -----------
Total interest expense (213,840) (138,193) (531,055) (390,992)
-------------- ----------- ------------ -----------
Dividends paid on preferred
securities of grantor trusts (5,171) (364) (15,064) (364)
-------------- ----------- ------------ -----------
NET INVESTMENT INCOME 128,533 94,704 342,953 259,529
-------------- ----------- ------------ -----------
NET REALIZED INVESTMENT LOSSES (12,629) (8,975) (14,814) (24,550)
-------------- ----------- ------------ -----------
Fee income:
Variable annuity fees 27,059 21,246 76,812 61,467
Net retained commissions 13,457 8,670 35,388 22,673
Asset management fees 6,371 6,712 19,235 20,399
Loan servicing fees 6,046 5,874 17,819 13,907
Trust fees 4,237 3,892 12,558 11,584
-------------- ----------- ------------ ------------
TOTAL FEE INCOME 57,170 46,394 161,812 130,030
-------------- ----------- ------------ ------------
Other income and expenses:
Surrender charges 7,433 3,013 15,046 9,169
General and administrative
expenses (54,292) (44,358) (148,632) (118,582)
Amortization of deferred
acquisition costs (27,081) (21,783) (67,597) (59,197)
Other, net 323 370 716 3,254
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TOTAL OTHER INCOME AND EXPENSES (73,617) (62,758) (200,467) (165,356)
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PRETAX INCOME 99,457 69,365 289,484 199,653
Income tax expense (29,800) (21,100) (86,800) (58,900)
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NET INCOME $ 69,657 $ 48,265 $ 202,684 $ 140,753
============= =========== ============ ============
EARNINGS PER SHARE $ 0.98 $ 0.70 $ 2.88 $ 2.04
============= =========== ============ ============
NET EARNINGS APPLICABLE TO
COMMON STOCK (used in the
computation of earnings
per share) $ 66,774 $ 44,478 $ 194,035 $ 128,653
============= =========== ============ ============
AVERAGE SHARES OUTSTANDING 68,078 63,432 67,263 63,103
============= =========== ============ ===========
</TABLE>
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