United States
Securities and Exchange Commission
Washington, D.C. 20549
Form 10-Q
Quarterly Report Under Section 13 or 15 (d) of the
Securities Exchange Act of 1934
For the Quarter ended March 31, 2005
Commission File No. 2-40764
Kansas City Life Insurance Company
3520 Broadway
Kansas City, Missouri 64111-2565
Phone: (816) 753-7000
IRS Number: 44-0308260
Incorporated in the State of Missouri
The Registrant (1) has filed all reports required to be filed by section 13 or 15 (d) of the Securities Exchange Act of 1934 during the preceding 12 months, and (2) has been subject to such filing requirements for the past 90 days.
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Yes |
X |
No______ |
Indicate by check mark whether the registrant is an accelerated filer (as defined in Rule 12b-2 of the Exchange Act).
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Yes |
X |
No______ |
Indicate the number of shares outstanding of each of the issuer's classes of common stock, as of the most recent date available.
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Class |
Outstanding April 14, 2005 | ||
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Common Stock, $1.25 par value |
11,919,281 shares |
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KANSAS CITY LIFE INSURANCE COMPANY
TABLE OF CONTENTS
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Part I. Financial Information......................................................................................................... |
3 |
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Item 1. Financial Statements......................................................................................................... |
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Consolidated Balance Sheets............................................................................................... |
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Consolidated Statements of Income........................................................................................ |
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Consolidated Statements of Cash Flows.................................................................................. |
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Notes to Consolidated Financial Statements.............................................................................. |
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Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations....................... |
12 |
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Item 3. Quantitative and Qualitative Disclosures About Market Risk.......................................................... |
24 |
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Item 4. Controls and Procedures.................................................................................................... |
25 |
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Part II. Other Information............................................................................................................. |
26 |
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Item 1. Legal Proceedings............................................................................................................. |
26 |
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Item 4. Results of Votes of Security Holders....................................................................................... |
26 |
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Item 5. Other Information............................................................................................................ |
27 |
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Item 6. Exhibits......................................................................................................................... |
29 |
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Signatures................................................................................................................................ |
30 |
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-2-
Part I Financial Information
Item 1. Financial Statements
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KANSAS CITY LIFE INSURANCE COMPANY |
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CONSOLIDATED BALANCE SHEETS |
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(amounts in thousands, except share data) |
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March 31 |
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December 31 | ||
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2005 |
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2004 | ||
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ASSETS |
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(Unaudited) |
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Investments: |
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Fixed maturity securities available for sale, at fair value |
$ |
2,949,303 |
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$ |
2,962,114 | |||
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Equity securities available for sale, at fair value |
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59,259 |
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63,099 | |||
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Mortgage loans |
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445,479 |
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430,632 | ||
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Real estate |
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88,386 |
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91,519 | ||
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Policy loans |
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107,065 |
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108,546 | ||
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Short-term investments |
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19,257 |
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67,980 | |||
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Other investments |
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1,673 |
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2,081 | |||
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Total investments |
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3,670,422 |
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3,725,971 | |
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Cash |
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7,739 |
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4,147 | |
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Accrued investment income |
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43,050 |
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39,928 | ||||
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Deferred acquisition costs |
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229,619 |
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229,712 | ||||
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Value of business acquired |
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94,679 |
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96,853 | ||||
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Reinsurance receivables |
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160,143 |
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156,839 | ||||
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Property and equipment |
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31,247 |
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31,595 | ||||
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Other assets |
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32,159 |
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27,118 | |||
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Separate account assets |
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346,857 |
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353,983 | ||||
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Total assets |
$ |
4,615,915 |
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$ |
4,666,146 | |
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LIABILITIES |
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Future policy benefits |
$ |
860,034 |
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$ |
859,890 | ||||
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Policyholder account balances |
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2,297,039 |
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2,299,647 | ||||
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Policy and contract claims |
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36,455 |
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34,200 | ||||
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Other policyholder funds |
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95,928 |
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96,853 | ||||
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Notes payable |
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72,279 |
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92,220 | |||
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Income taxes |
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38,382 |
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53,703 | |||
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Other liabilities |
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194,966 |
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182,754 | |||
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Separate account liabilities |
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346,857 |
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353,983 | ||||
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Total liabilities |
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3,941,940 |
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3,973,250 | |
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STOCKHOLDERS' EQUITY |
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Common stock, par value $1.25 per share |
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Authorized 36,000,000 shares, |
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issued 18,496,680 shares |
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23,121 |
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23,121 | |
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Additional paid in capital |
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24,486 |
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24,279 | ||||
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Retained earnings |
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738,238 |
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733,499 | |||
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Accumulated other comprehensive income |
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3,768 |
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26,231 | ||||
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Less treasury stock, at cost (2005 - 6,574,980 shares; |
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2004 - 6,550,287 shares) |
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(115,638) |
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(114,234) | |||
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Total stockholders' equity |
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673,975 |
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692,896 | |
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Total liabilities and stockholders' equity |
$ |
4,615,915 |
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$ |
4,666,146 | |
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See accompanying Notes to Consolidated Financial Statements. |
-3-
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KANSAS CITY LIFE INSURANCE COMPANY |
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CONSOLIDATED STATEMENTS OF INCOME (Unaudited) |
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(amounts in thousands, except share data) |
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Quarter ended March 31 | ||||
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2005 |
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2004 | ||
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REVENUES |
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Insurance revenues: |
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Premiums |
$ |
46,425 |
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$ |
47,051 | ||
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Contract charges |
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28,762 |
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29,149 | ||