Symetra Financial CORP - FORM 8-K - EX-99.2

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8-K - FORM 8-K - Symetra Financial CORP	d568484d8k.htm
EX-99.1 - EX-99.1 - Symetra Financial CORP	d568484dex991.htm

Exhibit 99.2

July 24, 2013

SECOND QUARTER 2013

Symetra Financial Corporation (SYA)

Financial Supplement

All financial information in this document is unaudited

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Symetra Financial Corporation

Financial Supplement

Table of Contents

June 30, 2013


	Page
Financial Highlights		1

Consolidated Results
Consolidated Income Statement Data		2
Consolidated Balance Sheet Data		3
Segment Income Statement Data		4

Segment Results
Benefits Division		5
Retirement Division:
Deferred Annuities		6
Income Annuities		7
Individual Life Division		8
Other		9

Additional Financial Data
Deferred Policy Acquisition Costs (DAC) and Deferred Sales Inducements (DSI) Roll Forwards		10
Account Value and Reserve Roll Forwards		11
Overview of Liabilities and Associated Unrealized Gains		12
Investments Summary		13
Investments Income Statement Data		14
Sales by Segment and Product		15
Book Value, Adjusted Book Value and Statutory Book Value per Share		16
ROE and Operating ROAE		17

Addendum
RMBS Prepayment Exposure		18
CMBS Prepayment Exposure		19
European Exposure		20

Symetra Financial Corporation

2Q 2013 Financial Supplement

Financial Highlights

(In millions, except per share or percentage data)


	For the Three Months Ended										For the Six Months Ended
	Jun. 30, 2013		Mar. 31, 2013		Dec. 31, 2012		Sep. 30, 2012		Jun. 30, 2012		Jun. 30, 2013		Jun. 30, 2012
Net income	$	45.0	$	66.0	$	31.0	$	55.2	$	43.8	$	111.0	$	119.2

Net income per common share ¹
Basic	$	0.34	$	0.48	$	0.22	$	0.40	$	0.32	$	0.82	$	0.86
Diluted	$	0.34	$	0.48	$	0.22	$	0.40	$	0.32	$	0.82	$	0.86

Weighted-average number of common shares outstanding:
Basic		133.050		138.093		138.114		138.091		138.090		135.558		137.933
Diluted		133.056		138.098		138.122		138.094		138.094		135.564		137.936

Non-GAAP Financial Measures ²
Adjusted operating income	$	51.4	$	50.4	$	32.9	$	45.9	$	47.2	$	101.8	$	106.5

Adjusted operating income per common share: ¹
Basic	$	0.39	$	0.37	$	0.24	$	0.33	$	0.34	$	0.75	$	0.77
Diluted	$	0.39	$	0.37	$	0.24	$	0.33	$	0.34	$	0.75	$	0.77


	As of
	Jun. 30, 2013			Mar. 31, 2013			Dec. 31, 2012			Sep. 30, 2012			Jun. 30, 2012
Consolidated Balance Sheet Data
Total investments	$	26,915.0		$	27,437.5		$	27,556.4		$	27,492.3		$	27,037.6

Total assets		29,040.4			29,587.8			29,460.9			29,497.7			28,997.9

Notes payable		449.4			449.4			449.4			449.3			449.3

Accumulated other comprehensive income (net of taxes) (AOCI)		782.6			1,293.1			1,371.2			1,404.3			1,188.0

Total stockholders' equity		3,040.1			3,604.2			3,630.1			3,641.2			3,378.4

U.S. Statutory Financial Information:
Statutory capital and surplus	$	1,921.3		$	1,952.6		$	1,912.6		$	1,906.5		$	1,868.3
Asset valuation reserve (AVR)		275.7			269.9			261.3			252.2			239.8


Statutory book value	$	2,197.0		$	2,222.5		$	2,173.9		$	2,158.7		$	2,108.1



Common shares outstanding, end of period		117.792			119.099			119.088			119.120			119.131

Book value per common share	$	25.81		$	26.10		$	26.29		$	26.37		$	24.46

Debt to capital ratio		12.9	%		11.1	%		11.0	%		11.0	%		11.7	%

Non-GAAP Financial Measures ²
Adjusted book value (stockholders’ equity excluding AOCI)	$	2,257.5		$	2,311.1		$	2,258.9		$	2,236.9		$	2,190.4
Adjusted book value per common share :
Adjusted book value per common share ³	$	19.17		$	19.40		$	18.97		$	18.78		$	18.39
Adjusted book value per common share, as converted ⁴	$	19.17		$	18.32		$	17.94		$	17.78		$	17.44
Statutory book value per common share ⁵	$	18.65		$	18.66		$	18.25		$	18.12		$	17.70

Debt to capital ratio, excluding AOCI ⁶		16.6	%		16.3	%		16.6	%		16.7	%		17.0	%


	For the Twelve Months Ended
	Jun. 30, 2013		Mar. 31, 2013		Dec. 31, 2012		Sep. 30, 2012		Jun. 30, 2012
ROE		5.7%		5.6%		6.1%		7.6%		6.6%

Non-GAAP Financial Measure ²
Operating ROAE ⁷		8.0%		7.9%		8.5%		9.5%		9.8%

¹ Basic net income and adjusted operating income per common share include all participating securities using the two-class method. Diluted net income and adjusted operating income per common share include the dilutive impact of non-participating securities, based on the application of the treasury stock method. Shares included in these calculations are weighted for the portion of the period they were outstanding. Antidilutive awards were excluded from the computation of diluted earnings per share. Historically, our outstanding warrants were considered participating securities and included in basic and diluted weighted-average common shares outstanding, assuming the warrants were exercised for the entire 18.976 common shares. For the three and six months ended June 30, 2013, these measures reflect the net-share settlement of the warrants for 5.298 common shares on June 20, 2013. Quarterly earnings per share amounts may not add to the full year amounts.

² Management considers these non-GAAP measures to be a useful supplement to their most comparable GAAP measure in evaluating financial performance and condition. Non-GAAP measures including adjusted operating income and the corresponding basic and diluted per share amounts, adjusted book value and the corresponding per share amounts, statutory book value per share amounts and operating ROAE have been reconciled to their most directly comparable GAAP measures on pages 2, 16, and 17, respectively.

³ Adjusted book value per common share is calculated as adjusted book value divided by common shares outstanding.

⁴ Adjusted book value per common share, as converted, gives effect to the exercise of the outstanding warrants in the periods they were outstanding. Historically, it has been calculated as adjusted book value plus the assumed proceeds from exercise of warrants, divided by common shares outstanding and shares subject to outstanding warrants. The warrants were net-share settled on June 20, 2013, resulting in the issuance of 5.298 shares of common stock. As of June 30, 2013 this measure is equivalent to adjusted book value per share.

⁵ Statutory book value per common share is calculated based on statutory book value divided by common shares outstanding.

⁶ Debt to capital ratio, excluding AOCI is calculated as notes payable divided by the sum of notes payable and adjusted book value.

⁷ Operating ROAE (return on average equity) is calculated based on adjusted operating income divided by average adjusted book value. The numerator and denominator of this measure have been reconciled to net income and stockholders' equity, respectively, their most comparable GAAP measures.

Symetra Financial Corporation

2Q 2013 Financial Supplement

Consolidated Income Statement Data

(In millions, except per share data)


	For the Three Months Ended										For the Six Months Ended
	Jun. 30, 2013		Mar. 31, 2013		Dec. 31, 2012		Sep. 30, 2012		Jun. 30, 2012		Jun. 30, 2013		Jun. 30, 2012
Revenues:
Premiums	$	157.4	$	157.0	$	153.8	$	154.1	$	146.8	$	314.4	$	297.1
Net investment income		318.6		323.7		323.2		312.3		319.2		642.3		639.7
Policy fees, contract charges and other		48.5		49.9		47.7		47.1		48.8		98.4		95.1
Net realized investment gains (losses):
Total other-than-temporary impairment losses on securities		(7.8)		(2.6)		(6.4)		(16.0)		(11.1)		(10.4)		(14.7)
Less: portion recognized in other comprehensive income		0.6		0.6		2.6		2.7		1.7		1.2		2.8

Net impairment losses recognized in earnings		(7.2)		(2.0)		(3.8)		(13.3)		(9.4)		(9.2)		(11.9)
Other net realized investment gains (losses)		(4.1)		28.5		(0.1)		28.8		3.0		24.4		31.4

Total net realized investment gains (losses)		(11.3)		26.5		(3.9)		15.5		(6.4)		15.2		19.5
Total revenues		513.2		557.1		520.8		529.0		508.4		1,070.3		1,051.4

Benefits and expenses:
Policyholder benefits and claims		115.2		119.5		118.2		111.1		104.5		234.7		209.7
Interest credited		225.7		235.3		237.6		235.4		230.3		461.0		459.8
Other underwriting and operating expenses		91.9		91.8		96.0		88.9		92.6		183.7		175.6
Interest expense		8.2		8.2		8.2		8.2		8.2		16.4		16.4
Amortization of deferred policy acquisition costs		17.2		18.9		16.9		17.9		15.4		36.1		31.2

Total benefits and expenses		458.2		473.7		476.9		461.5		451.0		931.9		892.7


Income from operations before income taxes		55.0		83.4		43.9		67.5		57.4		138.4		158.7
Provision (benefit) for income taxes:
Current		19.6		15.7		3.9		(0.3)		18.6		35.3		12.3
Deferred		(9.6)		1.7		9.0		12.6		(5.0)		(7.9)		27.2

Total provision for income taxes		10.0		17.4		12.9		12.3		13.6		27.4		39.5

Net income	$	45.0	$	66.0	$	31.0	$	55.2	$	43.8	$	111.0	$	119.2


Net income per common share:
Basic	$	0.34	$	0.48	$	0.22	$	0.40	$	0.32	$	0.82	$	0.86
Diluted	$	0.34	$	0.48	$	0.22	$	0.40	$	0.32	$	0.82	$	0.86

Weighted-average number of common shares outstanding:
Basic		133.050		138.093		138.114		138.091		138.090		135.558		137.933
Diluted		133.056		138.098		138.122		138.094		138.094		135.564		137.936

Cash dividends declared per common share	$	0.08	$	0.08	$	0.07	$	0.07	$	0.07	$	0.16	$	0.14

Non-GAAP Financial Measures:

Adjusted operating income	$	51.4	$	50.4	$	32.9	$	45.9	$	47.2	$	101.8	$	106.5


Adjusted operating income per common share:
Basic	$	0.39	$	0.37	$	0.24	$	0.33	$	0.34	$	0.75	$	0.77
Diluted	$	0.39	$	0.37	$	0.24	$	0.33	$	0.34	$	0.75	$	0.77

Reconciliation to net income:
Net income	$	45.0	$	66.0	$	31.0	$	55.2	$	43.8	$	111.0	$	119.2
Less: Net realized investment gains (losses) (net of taxes)		(7.3)		17.2		(2.6)		10.1		(4.2)		9.9		12.7
Add: Net realized gains (losses) — FIA (net of taxes)		(0.9)		1.6		(0.7)		0.8		(0.8)		0.7		—

Adjusted operating income	$	51.4	$	50.4	$	32.9	$	45.9	$	47.2	$	101.8	$	106.5

Symetra Financial Corporation

2Q 2013 Financial Supplement

Consolidated Balance Sheet Data

(In millions)


	Jun. 30, 2013		Mar. 31, 2013		Dec. 31, 2012		Sep. 30, 2012		Jun. 30, 2012
Assets
Investments:
Available-for-sale securities:
Fixed maturities, at fair value	$	22,697.0	$	23,369.6	$	23,519.0	$	23,620.9	$	23,300.8
Marketable equity securities, at fair value		53.7		50.6		49.6		48.4		49.8
Trading securities:
Marketable equity securities, at fair value		512.0		501.5		552.7		535.8		501.8
Mortgage loans, net		3,303.1		3,170.7		3,094.4		2,939.8		2,827.8
Policy loans		64.4		64.7		65.8		67.0		67.8
Investments in limited partnerships		236.8		235.3		239.3		242.2		247.7
Other invested assets		48.0		45.1		35.6		38.2		41.9

Total investments		26,915.0		27,437.5		27,556.4		27,492.3		27,037.6
Cash and cash equivalents		171.6		301.2		130.8		238.4		172.6
Accrued investment income		287.6		281.9		276.2		273.5		272.7
Reinsurance recoverables		300.1		304.5		302.1		297.5		293.4
Deferred policy acquisition costs		249.6		172.1		155.8		146.1		173.2
Receivables and other assets		243.7		211.7		231.9		230.1		249.0
Separate account assets		872.8		878.9		807.7		819.8		799.4

Total assets	$	29,040.4	$	29,587.8	$	29,460.9	$	29,497.7	$	28,997.9

Liabilities and stockholders’ equity
Funds held under deposit contracts	$	23,485.7	$	23,228.8	$	23,068.5	$	22,963.0	$	22,941.0
Future policy benefits		390.9		390.9		390.6		390.5		391.5
Policy and contract claims		163.9		148.2		162.2		159.7		160.1
Other policyholders’ funds		129.4		122.1		113.9		112.1		113.8
Notes payable		449.4		449.4		449.4		449.3		449.3
Deferred income tax liabilities, net		304.1		588.6		628.9		637.8		508.7
Other liabilities		204.1		176.7		209.6		324.3		255.7
Separate account liabilities		872.8		878.9		807.7		819.8		799.4

Total liabilities		26,000.3		25,983.6		25,830.8		25,856.5		25,619.5
Preferred stock		—		—		—		—		—
Common stock		1.2		1.2		1.2		1.2		1.2
Additional paid-in-capital		1,462.4		1,460.7		1,459.3		1,458.5		1,457.6
Treasury stock		(93.4)		(4.2)		—		—		—
Retained earnings		887.3		853.4		798.4		777.2		731.6
Accumulated other comprehensive income, net of taxes		782.6		1,293.1		1,371.2		1,404.3		1,188.0

Total stockholders’ equity		3,040.1		3,604.2		3,630.1		3,641.2		3,378.4

Total liabilities and stockholders’ equity	$	29,040.4	$	29,587.8	$	29,460.9	$	29,497.7	$	28,997.9

Symetra Financial Corporation

2Q 2013 Financial Supplement

Segment Income Statement Data

(In millions)


	For the Three Months Ended										For the Six Months Ended
	Jun. 30,		Mar. 31,		Dec. 31,		Sep. 30,		Jun. 30,		Jun. 30,		Jun. 30,
	2013		2013		2012		2012		2012		2013		2012
Operating revenues:
Benefits Division	$	157.2	$	156.6	$	153.7	$	152.3	$	146.7	$	313.8	$	295.6
Retirement Division:
Deferred Annuities		140.1		151.5		146.4		141.8		139.1		291.6		279.8
Income Annuities		99.1		103.6		102.3		102.6		106.5		202.7		211.8
Individual Life Division		112.4		111.3		110.8		113.0		113.3		223.7		226.4
Other		14.3		10.1		10.5		4.9		8.0		24.4		18.3

Operating revenues		523.1		533.1		523.7		514.6		513.6		1,056.2		1,031.9
Add: Net realized investment gains (losses) — excluding FIA		(9.9)		24.0		(2.9)		14.4		(5.2)		14.1		19.5

Revenues	$	513.2	$	557.1	$	520.8	$	529.0	$	508.4	$	1,070.3	$	1,051.4

Segment pre-tax adjusted operating income (loss):
Benefits Divison	$	16.3	$	13.5	$	12.4	$	16.7	$	16.3	$	29.8	$	41.4
Retirement Division:
Deferred Annuities		25.4		30.7		29.1		24.0		23.8		56.1		49.6
Income Annuities		10.0		8.8		5.1		8.6		16.8		18.8		31.3
Individual Life Division		14.5		11.2		5.5		13.8		13.2		25.7		27.7
Other		(1.3)		(4.8)		(5.3)		(10.0)		(7.5)		(6.1)		(10.8)

Pre-tax adjusted operating income ¹		64.9		59.4		46.8		53.1		62.6		124.3		139.2
Add: Net realized investment gains (losses) — excluding FIA		(9.9)		24.0		(2.9)		14.4		(5.2)		14.1		19.5

Income from operations before income taxes	$	55.0	$	83.4	$	43.9	$	67.5	$	57.4	$	138.4	$	158.7

¹ Pre-tax adjusted operating income is a non-GAAP measure, calculated as adjusted operating income on a pre-tax basis. It also represents the cumulative total of segment pre-tax adjusted operating income, which at the segment level is a GAAP measure. Income from operations before income taxes is the most directly comparable measure to pre-tax adjusted operating income.

Symetra Financial Corporation

2Q 2013 Financial Supplement

Benefits Division

(In millions)


	For the Three Months Ended										For the Six Months Ended
	Jun. 30,		Mar. 31,		Dec. 31,		Sep. 30,		Jun. 30,		Jun. 30,		Jun. 30,
	2013		2013		2012		2012		2012		2013		2012
Operating revenues:
Premiums	$	148.6	$	148.0	$	145.5	$	144.9	$	137.9	$	296.6	$	278.4
Net investment income		5.2		5.1		5.5		5.5		5.3		10.3		10.7
Policy fees, contract charges and other		3.4		3.5		2.7		1.9		3.5		6.9		6.5

Total operating revenues		157.2		156.6		153.7		152.3		146.7		313.8		295.6

Benefits and expenses:
Policyholder benefits and claims		98.5		101.4		98.5		94.9		90.3		199.9		176.9
Other underwriting and operating expenses		42.4		41.7		42.8		40.7		40.1		84.1		77.3

Total benefits and expenses		140.9		143.1		141.3		135.6		130.4		284.0		254.2

Segment pre-tax adjusted operating income	$	16.3	$	13.5	$	12.4	$	16.7	$	16.3	$	29.8	$	41.4


Operating Metrics:
Loss ratio ¹		66.2%		68.5%		67.7%		65.5%		65.5%		67.4%		63.5%
Expense ratio ²		28.5%		28.1%		28.3%		27.9%		29.1%		28.3%		27.8%

Combined ratio ³		94.7%		96.6%		96.0%		93.4%		94.6%		95.7%		91.3%

Medical stop-loss — loss ratio ⁴		66.0%		69.2%		66.2%		66.4%		65.8%		67.6%		63.8%
Total sales ⁵	$	21.3	$	66.5	$	25.7	$	31.3	$	35.6	$	87.8	$	102.3

Premiums:
Medical stop-loss	$	129.2	$	129.0	$	128.3	$	128.1	$	122.3	$	258.2	$	248.0
Limited benefit medical		13.0		13.0		13.4		13.6		12.1		26.0		24.0
Group life & disability		6.4		6.0		3.8		3.2		3.5		12.4		6.4

Total premiums earned	$	148.6	$	148.0	$	145.5	$	144.9	$	137.9	$	296.6	$	278.4

5 Year Historical Loss Ratio ¹:


	For the Three Months Ended												For the Year Ended
	1Q			2Q			3Q			4Q			For the Year Ended
2012		61.6	%		65.5	%		65.5	%		67.7	%		65.1	%
2011		67.6	%		62.4	%		63.6	%		59.6	%		63.1	%
2010		68.9	%		63.8	%		66.5	%		60.5	%		64.9	%
2009		70.1	%		66.1	%		67.3	%		69.9	%		68.3	%
2008		71.0	%		66.3	%		59.4	%		66.6	%		65.8	%

¹ Loss ratio represents policyholder benefits and claims incurred divided by premiums earned.

² Expense ratio is equal to other underwriting and operating expenses of our insurance operations divided by premiums earned.

³ Combined ratio is equal to the sum of the loss ratio and the expense ratio.

⁴ Medical stop-loss loss ratio represents medical stop-loss policyholder benefits and claims incurred divided by medical stop-loss premiums earned.

⁵ Total sales represents annualized first-year premiums net of first year policy lapses.

Symetra Financial Corporation

2Q 2013 Financial Supplement

Retirement Division — Deferred Annuities

(In millions)


	For the Three Months Ended										For the Six Months Ended
	Jun. 30,		Mar. 31,		Dec. 31,		Sep. 30,		Jun. 30,		Jun. 30,		Jun. 30,
	2013		2013		2012		2012		2012		2013		2012
Operating revenues:
Net investment income	$	136.2	$	143.2	$	142.0	$	135.6	$	135.2	$	279.4	$	269.6
Policy fees, contract charges and other		5.3		5.8		5.4		5.1		5.1		11.1		10.2
Net realized gains (losses) — FIA		(1.4)		2.5		(1.0)		1.1		(1.2)		1.1		—

Total operating revenues		140.1		151.5		146.4		141.8		139.1		291.6		279.8

Benefits and expenses:
Policyholder benefits and claims		0.2		—		—		—		0.1		0.2		—
Interest credited		80.8		82.9		82.5		85.2		80.8		163.7		163.0
Other underwriting and operating expenses		19.6		21.7		20.6		19.5		21.2		41.3		40.2
Amortization of deferred policy acquisition costs		14.1		16.2		14.2		13.1		13.2		30.3		27.0

Total benefits and expenses		114.7		120.8		117.3		117.8		115.3		235.5		230.2

Segment pre-tax adjusted operating income	$	25.4	$	30.7	$	29.1	$	24.0	$	23.8	$	56.1	$	49.6


Operating Metrics:
Fixed account values, excluding FIA — General account	$	10,631.1	$	10,681.4	$	10,688.5	$	10,722.9	$	10,748.3	$	10,631.1	$	10,748.3
Fixed account values, FIA — General account		852.0		539.1		374.9		264.3		215.4		852.0		215.4
Variable account values — Separate account		758.8		766.6		723.3		734.3		715.9		758.8		715.9
Interest spread ¹		1.97%		2.23%		2.10%		1.83%		1.88%		2.10%		1.91%

Base earned yield ²		4.67%		4.70%		4.81%		4.82%		4.87%		4.68%		4.90%
Base credited rate ²		2.87%		2.87%		3.03%		3.04%		3.03%		2.87%		3.03%

Base interest spread ²		1.80%		1.83%		1.78%		1.78%		1.84%		1.81%		1.87%
Total sales ³	$	441.5	$	322.0	$	300.8	$	166.5	$	325.5	$	763.5	$	679.3

¹ Interest spread excludes FIA and is the difference between the net investment yield and the credited rate to policyholders. The net investment yield is the approximate yield on invested assets. The credited rate is the approximate rate credited on policyholder fixed account values. Interest credited is subject to contractual terms, including minimum guarantees. Interest is credited on a daily basis and therefore quarters with more/less days of interest reduces/increases interest spread and base interest spread.

² Base interest spread excludes FIA and is the interest spread adjusted to exclude items that can vary significantly from period to period due to a number of factors and, therefore, may contribute to results that are not indicative of the underlying trends. This is primarily the impact of asset prepayments, such as bond make-whole premiums net of related deferred sales inducement amortization and the MBS prepayment speed adjustment. Interest is credited on a daily basis and therefore quarters with more/less days of interest reduces/increases interest spread and base interest spread.

³ Total sales represent deposits for new policies net of first year policy lapses and/or surrenders.

Fixed Account Values — General Account by Contract Minimum Interest Guarantees as of June 30, 2013:


	Contract Minimum Interest Guarantee ²
				<= 3.5%
		> 3.5% ¹		> 1.5%		<= 1.5%

Fixed account values — General account (including FIA)	$	1,114.8	$	994.2	$	9,321.3

¹ The maximum interest is 4.5% on a $124.4 block of business.

² Excludes standard non-forfeiture impacts.

Symetra Financial Corporation

2Q 2013 Financial Supplement

Retirement Division—Income Annuities

(In millions)


	For the Three Months Ended										For the Six Months Ended
	Jun. 30,		Mar. 31,		Dec. 31,		Sep. 30,		Jun. 30,		Jun. 30,		Jun. 30,
	2013		2013		2012		2012		2012		2013		2012
Operating revenues:
Net investment income	$	98.9	$	101.7	$	100.4	$	100.9	$	104.5	$	200.6	$	208.6
Policy fees, contract charges and other		0.2		1.9		1.9		1.7		2.0		2.1		3.2

Total operating revenues		99.1		103.6		102.3		102.6		106.5		202.7		211.8

Benefits and expenses:
Interest credited		82.7		88.5		90.9		87.7		82.9		171.2		167.4
Other underwriting and operating expenses		5.4		5.4		5.6		5.4		5.9		10.8		11.6
Amortization of deferred policy acquisition costs		1.0		0.9		0.7		0.9		0.9		1.9		1.5

Total benefits and expenses		89.1		94.8		97.2		94.0		89.7		183.9		180.5

Segment pre-tax adjusted operating income	$	10.0	$	8.8	$	5.1	$	8.6	$	16.8	$	18.8	$	31.3

Operating Metrics:
Reserves ¹	$	6,512.7	$	6,546.6	$	6,566.5	$	6,576.7	$	6,613.6	$	6,512.7	$	6,613.6
Interest spread ²		0.60%		0.66%		0.47%		0.56%		0.70%		0.63%		0.64%

Base earned yield ³		6.06%		6.01%		6.05%		6.04%		6.16%		6.04%		6.12%
Base credited rate ³		5.49%		5.55%		5.60%		5.52%		5.57%		5.52%		5.58%

Base interest spread ³		0.57%		0.46%		0.45%		0.52%		0.59%		0.52%		0.54%
MBS prepayment speed adjustment ⁴	$	0.1	$	—	$	0.2	$	0.2	$	0.1	$	0.1	$	0.2
Mortality gains (losses) ⁵		4.5		1.0		(0.9)		2.0		6.4		5.5		11.8
Total sales ⁶		45.5		40.7		57.6		49.5		95.3		86.2		151.1

5 Year Historical Mortality Gains (Losses): ⁵


	For the Three Months Ended												For the Year Ended
	1Q			2Q			3Q			4Q
2012	$	5.4		$	6.4		$	2.0		$	(0.9	)	$	12.9
2011		0.7			4.9			(1.4	)		(3.9	)		0.3
2010		(0.1	)		(1.8	)		(0.1	)		(0.6	)		(2.6	)
2009		4.3			(0.5	)		—			1.3			5.1
2008		2.0			0.8			0.7			(1.4	)		2.1

¹ Reserves represent the present value of future income annuity benefits and assumed expenses, discounted by the assumed interest rate. This metric represents the amount of our in-force book of business.

² Interest spread is the difference between the net investment yield and the credited rate to policyholders. The net investment yield is the approximate yield on invested assets in the general account attributed to the segment. The credited rate is the approximate rate credited on policyholder reserves.

³ Base interest spread is the interest spread adjusted to exclude items that can vary significantly from period to period due to a number of factors and, therefore, may contribute to yields that are not indicative of the underlying trends. This is primarily the impact of asset prepayments, such as bond make-whole premiums and the MBS prepayment speed adjustment. The fourth quarter 2012 credited rate includes a $1.1 reserve adjustment, which increased base credited rate and decreased base interest spread six basis points.

⁴ MBS prepayment speed adjustment is the impact to net investment income due to the change in prepayment speeds on the underlying collateral of mortgage-backed securities.

⁵ Mortality gains (losses) represent the difference between actual and expected reserves released on our life contingent annuities.

⁶ Total sales represent deposits for new policies net of first year policy lapses and/or surrenders.

Symetra Financial Corporation

2Q 2013 Financial Supplement

Individual Life Division

(In millions)


	For the Three Months Ended										For the Six Months Ended
	Jun. 30,		Mar. 31,		Dec. 31,		Sep. 30,		Jun. 30,		Jun. 30,		Jun. 30,
	2013		2013		2012		2012		2012		2013		2012
Operating revenues:
Premiums	$	8.8	$	9.0	$	8.3	$	9.2	$	8.9	$	17.8	$	18.7
Net investment income		69.7		69.2		69.9		71.1		71.8		138.9		143.4
Policy fees, contract charges and other		33.9		33.1		32.6		32.7		32.6		67.0		64.3

Total operating revenues		112.4		111.3		110.8		113.0		113.3		223.7		226.4

Benefits and expenses:
Policyholder benefits and claims		16.5		18.1		19.7		16.2		14.1		34.6		32.8
Interest credited		62.8		64.2		64.8		62.9		67.3		127.0		130.5
Other underwriting and operating expenses		16.5		16.0		18.8		16.2		17.4		32.5		32.7
Amortization of deferred policy acquisition costs		2.1		1.8		2.0		3.9		1.3		3.9		2.7

Total benefits and expenses		97.9		100.1		105.3		99.2		100.1		198.0		198.7

Segment pre-tax adjusted operating income	$	14.5	$	11.2	$	5.5	$	13.8	$	13.2	$	25.7	$	27.7

Operating Metrics:
Individual insurance:
Insurance in force ¹	$	35,215.5	$	35,455.3	$	35,777.4	$	36,050.0	$	36,382.7	$	35,215.5	$	36,382.7
Claims ²		13.7		15.7		16.3		13.9		15.1		29.4		30.8
Annualized mortality rate ³		0.16%		0.18%		0.18%		0.15%		0.17%		0.17%		0.17%
UL account value ⁴	$	714.5	$	716.2	$	716.0	$	717.3	$	714.6	$	714.5	$	714.6
UL interest spread ⁵		1.93%		1.97%		1.58%		1.44%		1.70%		1.95%		1.70%
UL base interest spread ⁶		1.43%		1.49%		1.51%		1.58%		1.66%		1.46%		1.68%
Sales ⁷	$	3.0	$	2.3	$	1.3	$	1.6	$	3.2	$	5.3	$	6.2
Institutional Markets:
Insurance in force ¹	$	12,715.4	$	12,685.0	$	12,602.9	$	12,635.0	$	12,662.4	$	12,715.4	$	12,662.4
BOLI account value ⁴		4,732.8		4,696.4		4,659.8		4,621.9		4,587.3		4,732.8		4,587.3
BOLI ROA ⁸		0.90%		0.84%		0.71%		1.07%		1.00%		0.87%		1.00%
BOLI base ROA ⁹		0.85%		0.83%		0.66%		1.02%		0.91%		0.84%		0.92%
BOLI sales ¹⁰	$	—	$	—	$	—	$	—	$	—	$	—	$	2.0
COLI single premium sales ¹⁰		0.3		2.4		—		—		—		2.7		—
COLI recurring premium sales ¹¹		3.0		—		—		—		—		3.0		—

5 Year Historical Individual Claims:


									For the Year
	For the Three Months Ended								Ended
	1Q		2Q		3Q		4Q
2012		15.7		15.1		13.9		16.3		61.0
2011		15.7		12.1		13.0		13.5		54.3
2010		13.9		13.5		12.0		11.3		50.7
2009		14.7		13.4		12.8		12.6		53.5
2008		14.3		13.6		13.7		12.1		53.7

¹ Insurance in force represents dollar face amounts of policies without adjustment for reinsurance.

² Individual claims represents incurred claims, net of reinsurance, on our term and universal life policies.

³ Annualized mortality rate is defined as annualized individual claims divided by insurance in force.

⁴ UL account value and BOLI account value represent our liabilities to our policyholders.

⁵ UL interest spread excludes SPL and is the difference between the net investment yield and the credited rate to policyholders. The net investment yield is the approximate yield on invested assets in the general account attributed to UL policies. The credited rate is the approximate rate credited on UL policyholder account values. Interest credited is subject to contractual terms, including minimum guarantees.

⁶ UL base interest spread excludes SPL and is UL interest spread adjusted to exclude items that can vary significantly from period to period due to a number of factors and, therefore, may contribute to results that are not indicative of the underlying trends. This is primarily the impact of asset prepayments, such as bond make-whole premiums net of related bonus interest amortization, the MBS prepayment speed adjustment, and reserve adjustments.

⁷ Individual sales represents annualized first year premiums for recurring premium products and 10% of new single premium deposits, net of first year policy lapses and/or surrenders.

⁸ BOLI ROA is a measure of the gross margin on our BOLI book of business. This metric is calculated as the difference between our BOLI revenue earnings rate and our BOLI policy benefits rate. The revenue earnings rate is calculated as revenues divided by average invested assets. The policy benefits rate is calculated as total policy benefits divided by average account value. The policy benefits used in this metric do not include expenses.

⁹ BOLI base ROA is BOLI ROA adjusted to exclude items that can vary significantly from period to period due to a number of factors and, therefore, may contribute to yields that are not indicative of the underlying trends. This is primarily the impact of asset prepayments, such as bond make-whole premiums, the MBS prepayment speed adjustment, and reserve adjustments.

¹⁰ Represents 10% of deposits.

¹¹Represents deposits for new policies.

Symetra Financial Corporation

2Q 2013 Financial Supplement

Other

(In millions)


	For the Three Months Ended										For the Six Months Ended
	Jun. 30, 2013		Mar. 31, 2013		Dec. 31, 2012		Sep. 30, 2012		Jun. 30, 2012		Jun. 30, 2013		Jun. 30, 2012
Operating revenues:
Net investment income (loss)	$	8.6	$	4.5	$	5.4	$	(0.8)	$	2.4	$	13.1	$	7.4
Policy fees, contract charges and other		5.7		5.6		5.1		5.7		5.6		11.3		10.9

Total operating revenues		14.3		10.1		10.5		4.9		8.0		24.4		18.3

Benefits and expenses:
Interest credited		(0.6)		(0.3)		(0.6)		(0.4)		(0.7)		(0.9)		(1.1)
Other underwriting and operating expenses		8.0		7.0		8.2		7.1		8.0		15.0		13.8
Interest expense		8.2		8.2		8.2		8.2		8.2		16.4		16.4

Total benefits and expenses		15.6		14.9		15.8		14.9		15.5		30.5		29.1

Segment pre-tax adjusted operating loss	$	(1.3)	$	(4.8)	$	(5.3)	$	(10.0)	$	(7.5)	$	(6.1)	$	(10.8)

Symetra Financial Corporation

2Q 2013 Financial Supplement

Deferred Policy Acquisition Costs (DAC) and Deferred Sales Inducements (DSI) Roll Forwards

(In millions)


	For the Three Months Ended										For the Six Months Ended
	Jun. 30,		Mar. 31,		Dec. 31,		Sep. 30,		Jun. 30,		Jun. 30,		Jun. 30,
DAC Roll Forward	2013		2013		2012		2012		2012		2013		2012
Summary — Total Company
Unamortized balance, beginning of period	$	367.1	$	367.9	$	369.5	$	376.2	$	372.3	$	367.9	$	368.4
Deferral of acquisition costs:
Commissions		18.2		14.3		13.3		8.9		17.2		32.5		34.6
Other acquisition expenses		4.9		3.6		2.1		1.9		2.1		8.5		4.4

Total deferral of acquisition costs		23.1		17.9		15.4		10.8		19.3		41.0		39.0
Adjustments related to inv (gains) losses		0.1		0.2		(0.1)		0.4		—		0.3		—
Amortization		(15.6)		(17.3)		(16.9)		(15.3)		(15.4)		(32.9)		(31.2)
Unlocking		(1.6)		(1.6)		—		(2.6)		—		(3.2)		—

Total amortization		(17.2)		(18.9)		(16.9)		(17.9)		(15.4)		(36.1)		(31.2)

Unamortized balance, end of period		373.1		367.1		367.9		369.5		376.2		373.1		376.2
Accum effect of net unrealized gains		(123.5)		(195.0)		(212.1)		(223.4)		(203.0)		(123.5)		(203.0)

DAC balance, end of period	$	249.6	$	172.1	$	155.8	$	146.1	$	173.2	$	249.6	$	173.2

Retirement Division—Deferred Annuities
Unamortized balance, beginning of period	$	253.4	$	256.7	$	259.3	$	265.2	$	265.5	$	256.7	$	265.5
Deferral of acquisition costs:
Commissions		15.7		11.4		10.4		5.7		11.5		27.1		24.1
Other acquisition expenses		1.8		1.3		1.3		1.2		1.3		3.1		2.6

Total deferral of acquisition costs		17.5		12.7		11.7		6.9		12.8		30.2		26.7
Adjustments related to inv (gains) losses		0.1		0.2		(0.1)		0.3		0.1		0.3		—
Amortization		(12.6)		(14.6)		(14.2)		(12.9)		(13.2)		(27.2)		(27.0)
Unlocking		(1.5)		(1.6)		—		(0.2)		—		(3.1)		—

Total amortization		(14.1)		(16.2)		(14.2)		(13.1)		(13.2)		(30.3)		(27.0)

Unamortized balance, end of period		256.9		253.4		256.7		259.3		265.2		256.9		265.2
Accum effect of net unrealized gains		(113.5)		(178.9)		(194.6)		(205.4)		(189.9)		(113.5)		(189.9)

DAC balance, end of period	$	143.4	$	74.5	$	62.1	$	53.9	$	75.3	$	143.4	$	75.3

Retirement Division—Income Annuities
Unamortized balance, beginning of period	$	45.6	$	45.0	$	43.5	$	42.3	$	39.6	$	45.0	$	37.9
Deferral of acquisition costs:
Commissions		1.5		1.4		2.0		1.8		3.2		2.9		5.2
Other acquisition expenses		0.2		0.1		0.2		0.3		0.4		0.3		0.7

Total deferral of acquisition costs		1.7		1.5		2.2		2.1		3.6		3.2		5.9
Amortization		(1.0)		(0.9)		(0.7)		(0.9)		(0.9)		(1.9)		(1.5)

Unamortized balance, end of period		46.3		45.6		45.0		43.5		42.3		46.3		42.3

DAC balance, end of period	$	46.3	$	45.6	$	45.0	$	43.5	$	42.3	$	46.3	$	42.3

Individual Life Division
Unamortized balance, beginning of period	$	68.1	$	66.2	$	66.7	$	68.7	$	67.2	$	66.2	$	65.0
Deferral of acquisition costs:
Commissions		1.0		1.5		0.9		1.4		2.5		2.5		5.3
Other acquisition expenses		2.9		2.2		0.6		0.4		0.4		5.1		1.1

Total deferral of acquisition costs		3.9		3.7		1.5		1.8		2.9		7.6		6.4
Adjustments related to inv (gains) losses		—		—		—		0.1		(0.1)		—		—
Amortization		(2.0)		(1.8)		(2.0)		(1.5)		(1.3)		(3.8)		(2.7)
Unlocking		(0.1)		—		—		(2.4)		—		(0.1)		—

Total amortization		(2.1)		(1.8)		(2.0)		(3.9)		(1.3)		(3.9)		(2.7)

Unamortized balance, end of period		69.9		68.1		66.2		66.7		68.7		69.9		68.7
Accum effect of net unrealized gains		(10.0)		(16.1)		(17.5)		(18.0)		(13.1)		(10.0)		(13.1)

DAC balance, end of period	$	59.9	$	52.0	$	48.7	$	48.7	$	55.6	$	59.9	$	55.6



	For the Three Months Ended										For the Six Months Ended
	Jun. 30,		Mar. 31,		Dec. 31,		Sep. 30,		Jun. 30,		Jun. 30,		Jun. 30,
DSI Roll Forward¹	2013		2013		2012		2012		2012		2013		2012
Total Company
Unamortized balance, beginning of period	$	154.1	$	153.4	$	152.4	$	150.5	$	146.9	$	153.4	$	142.0
Capitalizations		12.2		13.3		11.8		12.1		12.5		25.5		25.8
Adjustments related to inv (gains) losses		0.1		0.2		0.1		0.2		—		0.3		—
Amortization		(10.1)		(11.7)		(10.9)		(9.4)		(8.9)		(21.8)		(17.3)
Unlocking		(1.2)		(1.1)		—		(1.0)		—		(2.3)		—

Total amortization		(11.3)		(12.8)		(10.9)		(10.4)		(8.9)		(24.1)		(17.3)

Unamortized balance, end of period		155.1		154.1		153.4		152.4		150.5		155.1		150.5
Accum effect of net unrealized gains		(82.3)		(122.5)		(128.6)		(132.4)		(114.2)		(82.3)		(114.2)

DSI balance, end of period	$	72.8	$	31.6	$	24.8	$	20.0	$	36.3	$	72.8	$	36.3

¹ DSI balance is included in receivables and other assets.

Symetra Financial Corporation

2Q 2013 Financial Supplement

Account Value and Reserve Roll Forwards

(In millions)


	For the Three Months Ended										For the Six Months Ended
	Jun. 30,		Mar. 31,		Dec. 31,		Sep. 30,		Jun. 30,		Jun. 30,		Jun. 30,
	2013		2013		2012		2012		2012		2013		2012
Retirement Division:
Deferred Annuities:
Fixed Account Values, excluding FIA
Account value, beginning of period	$	10,681.4	$	10,688.5	$	10,722.9	$	10,748.3	$	10,662.5	$	10,688.5	$	10,532.1
Deposits		139.1		179.3		192.4		140.6		272.3		318.4		593.7
Withdrawals		(275.7)		(271.3)		(310.4)		(257.2)		(269.6)		(547.0)		(561.8)
Net transfers		0.5		1.3		1.1		2.8		2.9		1.8		5.0

Net flows		(136.1)		(90.7)		(116.9)		(113.8)		5.6		(226.8)		36.9
Interest credited		78.1		79.1		82.5		83.8		84.5		157.2		168.9
Other		7.7		4.5		—		4.6		(4.3)		12.2		10.4

Account value, end of period	$	10,631.1	$	10,681.4	$	10,688.5	$	10,722.9	$	10,748.3	$	10,631.1	$	10,748.3

Fixed Account Values, FIA
Account value, beginning of period	$	539.1	$	374.9	$	264.3	$	215.4	$	145.2	$	374.9	$	81.0
Deposits		310.5		148.5		116.0		43.4		72.9		459.0		133.2
Withdrawals		(5.8)		(3.0)		(2.5)		(1.3)		(2.3)		(8.8)		(3.3)
Net transfers		1.2		0.3		0.6		—		0.6		1.5		1.1

Net flows		305.9		145.8		114.1		42.1		71.2		451.7		131.0
Interest credited		3.1		2.4		3.0		0.8		0.5		5.5		0.7
Other		3.9		16.0		(6.5)		6.0		(1.5)		19.9		2.7

Account value, end of period	$	852.0	$	539.1	$	374.9	$	264.3	$	215.4	$	852.0	$	215.4

Income Annuities:
Reserves
Reserves, beginning of period	$	6,546.6	$	6,566.5	$	6,576.7	$	6,613.6	$	6,610.0	$	6,566.5	$	6,608.3
Deposits		45.1		40.3		55.5		46.2		88.1		85.4		138.6
Benefit payments		(157.1)		(145.1)		(158.9)		(168.0)		(158.5)		(302.2)		(298.2)

Net flows		(112.0)		(104.8)		(103.4)		(121.8)		(70.4)		(216.8)		(159.6)
Interest credited		92.5		93.3		93.5		94.0		94.4		185.8		189.2
Other		(14.4)		(8.4)		(0.3)		(9.1)		(20.4)		(22.8)		(24.3)

Reserves, end of period	$	6,512.7	$	6,546.6	$	6,566.5	$	6,576.7	$	6,613.6	$	6,512.7	$	6,613.6

Individual Life Division:
BOLI Account Values
Account value, beginning of period	$	4,696.4	$	4,659.8	$	4,621.9	$	4,587.3	$	4,544.8	$	4,659.8	$	4,491.5
Deposits		—		—		—		—		—		—		20.0
Surrenders/claims		—		—		—		—		—		—		—

Net flows		—		—		—		—		—		—		20.0
Interest credited		54.6		55.7		55.4		53.9		59.0		110.3		113.5
Administrative charges and other		(18.2)		(19.1)		(17.5)		(19.3)		(16.5)		(37.3)		(37.7)

Account value, end of period	$	4,732.8	$	4,696.4	$	4,659.8	$	4,621.9	$	4,587.3	$	4,732.8	$	4,587.3

UL Account Values
Account value, beginning of period	$	716.2	$	716.0	$	717.3	$	714.6	$	698.1	$	716.0	$	678.9
Deposits		16.9		16.3		15.0		18.7		32.6		33.2		66.7
Surrenders/claims		(8.1)		(6.2)		(7.0)		(7.5)		(6.9)		(14.3)		(13.1)

Net flows		8.8		10.1		8.0		11.2		25.7		18.9		53.6
Interest credited		7.6		7.7		7.7		8.1		7.8		15.3		15.3
Administrative charges and other		(18.1)		(17.6)		(17.0)		(16.6)		(17.0)		(35.7)		(33.2)

Account value, end of period	$	714.5	$	716.2	$	716.0	$	717.3	$	714.6	$	714.5	$	714.6

Symetra Financial Corporation

2Q 2013 Financial Supplement

Overview of Liabilities and Associated Unrealized Gains

(In millions)


	As of Jun. 30, 2013
	Policyholder Liability		% of Total			Unrealized gains⁸
Illiquid Liabilities
Structured settlements & other SPIAs ¹	$	6,540.5				$	522.8
Deferred annuities with 5 year payout provision or MVA ²		1,042.4					45.2
Traditional insurance (net of reinsurance) ³		171.8					13.7
Group health & life (net of reinsurance) ³		139.0					0.4

Total illiquid liabilities		7,893.7		33.2	%		582.1

Somewhat Liquid Liabilities
Bank-owned life insurance (BOLI) ⁴		4,824.0					256.8
Deferred annuities with surrender charges of 5% or higher		5,424.2					235.1
Universal life with surrender charges of 5% or higher		284.2					15.6

Total somewhat liquid liabilities		10,532.4		44.2	%		507.5

Fully Liquid Liabilities
Deferred annuities with surrender charges of:
3% up to 5%		2,012.7					87.3
Less than 3%		258.7					11.2
No surrender charges ⁵		2,646.1					114.7
Universal life with surrender charges less than 5%		447.1					24.3
Other ⁶		21.8					0.3

Total fully liquid liabilities		5,386.4		22.6	%		237.8

Assets supporting surplus portfolio							72.9

Total ⁷	$	23,812.5		100.0	%	$	1,400.3


Reconciliation of unrealized gains to AOCI:
Unrealized gains from above						$	1,400.3
Tax on unrealized gains and losses on available-for-sale securities							(490.1)
Adjustment for DAC and DSI valuation allowance, net of tax							(133.7)
Other							6.1

AOCI						$	782.6

¹ These contracts cannot be surrendered. The benefits are specified in the contracts as fixed amounts, primarily to be paid over the next several decades.

² In a liquidity crisis situation, we could invoke the five-year payout provision so that the contract value with interest is paid out ratably over five years.

³ Represents incurred but not reported claim liabilities, mainly related to our medical stop-loss business. The surrender value on these contracts is generally zero but these liabilities are considered illiquid as the claims have not been reported to us and the precise timing and amount of the payment is unknown.

⁴ The biggest deterrent to surrender is the taxation on the gain within these contracts, which includes a 10% non-deductible penalty tax. Banks can exchange certain of these contracts with other carriers, tax-free. However, a significant portion of this business does not qualify for this tax-free treatment due to the employment status of the original covered employees and charges may be applicable.

⁵ Approximately half of the account value has been with us for many years, due to guaranteed minimum interest rates of 4.0% - 4.5% that are significantly higher than those currently offered on new business, which range from 0.5% - 1.5%. Given the current low interest rate environment, we do not expect significant changes in the persistency of this business.

⁶ Represents BOLI, traditional insurance, and medical stop-loss and group life reported claim liabilities.

⁷ Represents the sum of funds held under deposit contracts, future policy benefits and policy and contract claims on the consolidated balance sheets, excluding other policyholder related liabilities and reinsurance recoverables of $228.0.

⁸ Represents the pre-tax unrealized gains of the investment portfolio supporting the related policyholder liability.

Symetra Financial Corporation

2Q 2013 Financial Supplement

Investments Summary

(In millions)


	As of
	Jun. 30, 2013		%		Mar. 31, 2013		%		Dec. 31, 2012		%		Sep. 30, 2012		%		Jun. 30, 2012		%
Portfolio Composition:
Available-for-sale securities:
Fixed maturities, at fair value	$	22,697.0		84.3%	$	23,369.6		85.2%	$	23,519.0		85.4%	$	23,620.9		85.9%	$	23,300.8		86.2%
Marketable equity securities, at fair value		53.7		0.2%		50.6		0.2%		49.6		0.2%		48.4		0.2%		49.8		0.2%
Trading securities:
Marketable equity securities, at fair value		512.0		1.9%		501.5		1.8%		552.7		2.0%		535.8		2.0%		501.8		1.9%
Mortgage loans, net		3,303.1		12.3%		3,170.7		11.5%		3,094.4		11.2%		2,939.8		10.7%		2,827.8		10.5%
Policy loans		64.4		0.2%		64.7		0.2%		65.8		0.2%		67.0		0.2%		67.8		0.2%
Investment in limited partnerships		236.8		0.9%		235.3		0.9%		239.3		0.9%		242.2		0.9%		247.7		0.9%
Other invested assets		48.0		0.2%		45.1		0.2%		35.6		0.1%		38.2		0.1%		41.9		0.1%
Total investments		26,915.0		100.0%		27,437.5		100.0%		27,556.4		100.0%		27,492.3		100.0%		27,037.6		100.0%
Cash and cash equivalents		171.6				301.2				130.8				238.4				172.6
Total investments, cash and cash equivalents	$	27,086.6			$	27,738.7			$	27,687.2			$	27,730.7			$	27,210.2
Fixed Maturities Securities by Credit Quality: ¹
1: AAA, AA, A	$	13,205.7		58.2%	$	13,677.5		58.6%	$	13,748.9		58.5%	$	14,031.0		59.4%	$	13,890.1		59.6%
2: BBB		8,267.0		36.4%		8,469.7		36.2%		8,490.9		36.1%		8,350.2		35.4%		8,027.5		34.5%
Total investment grade		21,472.7		94.6%		22,147.2		94.8%		22,239.8		94.6%		22,381.2		94.8%		21,917.6		94.1%

3: BB		635.7		2.8%		631.6		2.7%		683.7		2.9%		659.6		2.8%		807.5		3.5%
4: B		492.0		2.2%		496.7		2.1%		488.4		2.1%		462.8		1.9%		468.2		2.0%
5: CCC & lower		78.5		0.3%		76.1		0.3%		83.0		0.3%		101.7		0.4%		104.3		0.4%
6: In or near default		18.1		0.1%		18.0		0.1%		24.1		0.1%		15.6		0.1%		3.2		0.0%
Total below investment grade		1,224.3		5.4%		1,222.4		5.2%		1,279.2		5.4%		1,239.7		5.2%		1,383.2		5.9%
Total fixed maturities	$	22,697.0		100.0%	$	23,369.6		100.0%	$	23,519.0		100.0%	$	23,620.9		100.0%	$	23,300.8		100.0%
Fixed Maturities by Issuer Type:
U.S. government and agencies	$	167.8		0.7%	$	252.6		1.1%	$	311.5		1.3%	$	129.2		0.5%	$	167.4		0.7%
State and political subdivisions		808.3		3.6%		779.5		3.3%		776.5		3.3%		744.1		3.2%		651.7		2.8%
Foreign governments		17.1		0.1%		17.9		0.1%		19.1		0.1%		19.6		0.1%		19.3		0.1%
Corporate securities		16,861.0		74.3%		17,275.1		73.9%		17,201.6		73.1%		17,168.0		72.7%		16,946.2		72.7%
Residential mortgage-backed securities		2,802.6		12.3%		2,935.4		12.6%		3,007.8		12.8%		3,150.7		13.3%		3,230.2		13.9%
Commercial mortgage-backed securities		1,552.1		6.8%		1,619.7		6.9%		1,707.7		7.3%		1,889.0		8.0%		1,797.0		7.7%
Other debt obligations		488.1		2.2%		489.4		2.1%		494.8		2.1%		520.3		2.2%		489.0		2.1%
Total fixed maturities	$	22,697.0		100.0%	$	23,369.6		100.0%	$	23,519.0		100.0%	$	23,620.9		100.0%	$	23,300.8		100.0%
Effective Duration		5.6				5.7				5.7				5.7				5.7
Weighted-average Investment Yield		5.02%				5.09%				5.08%				5.07%				5.13%

	For the Three Months Ended
	Jun. 30, 2013		%		Mar. 31, 2013		%		Dec. 31, 2012		%		Sep. 30, 2012		%		Jun. 30, 2012		%
Average Daily Cash and Cash Equivalent Balances:
Benefits Division	$	4.9		2.4%	$	1.2		0.6%	$	7.8		3.7%	$	6.0		4.4%	$	6.9		2.9%
Retirement Division:
Deferred Annuities		115.3		57.4%		84.8		44.1%		107.0		51.4%		29.9		21.7%		57.1		23.8%
Income Annuities		23.7		11.8%		54.1		28.1%		32.8		15.8%		67.4		49.0%		73.1		30.5%
Individual Life Division		15.0		7.5%		24.2		12.6%		35.1		16.9%		33.7		24.5%		69.6		29.0%
Other		41.9		20.9%		28.0		14.6%		25.5		12.2%		0.6		0.4%		33.2		13.8%
Total	$	200.8		100.0%	$	192.3		100.0%	$	208.2		100.0%	$	137.6		100.0%	$	239.9		100.0%

¹ Credit quality is based on NAIC (National Association of Insurance Commissioners) designation with presentation of the S&P equivalent credit ratings.

Symetra Financial Corporation

2Q 2013 Financial Supplement

Investments Income Statement Data

(In millions)


	For the Three Months Ended										For the Six Months Ended
	Jun. 30, 2013		Mar. 31, 2013		Dec. 31, 2012		Sep. 30, 2012		Jun. 30, 2012		Jun. 30, 2013		Jun. 30, 2012
Prepayment-related Income: ¹
Benefits Division	$	—	$	—	$	—	$	—	$	—	$	—	$	—
Retirement Division:
Deferred Annuities		6.0		13.3		9.6		2.6		1.2		19.3		2.2
Income Annuities		0.5		3.2		0.4		0.7		1.7		3.7		3.1
Individual Life Division		1.6		1.1		0.7		0.7		1.2		2.7		2.1
Other		0.5		0.1		0.1		0.2		0.1		0.6		2.3

	$	8.6	$	17.7	$	10.8	$	4.2	$	4.2	$	26.3	$	9.7



	For the Three Months Ended										For the Six Months Ended
	Jun. 30, 2013		Mar. 31, 2013		Dec. 31, 2012		Sep. 30, 2012		Jun. 30, 2012		Jun. 30, 2013		Jun. 30, 2012
Net Realized Investment Gains (Losses):
Fixed maturities:
Gross gains on sales	$	3.8	$	1.8	$	13.9	$	7.4	$	23.1	$	5.6	$	33.0
Gross losses on sales		(1.9)		(8.1)		(12.7)		(6.4)		(5.8)		(10.0)		(7.9)
Other-than-temporary impairments		(7.2)		(2.0)		(3.8)		(13.3)		(9.4)		(9.2)		(11.9)
Other ²		(3.7)		(0.7)		(0.3)		2.3		(2.4)		(4.4)		1.2

Total fixed maturities		(9.0)		(9.0)		(2.9)		(10.0)		5.5		(18.0)		14.4
Marketable equity securities, trading ³		(1.7)		33.0		3.1		25.0		(9.4)		31.3		8.6
Other invested assets		(0.8)		2.1		(4.2)		(0.1)		(2.5)		1.3		(3.5)
DAC/DSI adjustment		0.2		0.4		0.1		0.6		—		0.6		—

Net realized investment gains (losses)	$	(11.3)	$	26.5	$	(3.9)	$	15.5	$	(6.4)	$	15.2	$	19.5



	For the Three Months Ended										For the Six Months Ended
	Jun. 30, 2013		Mar. 31, 2013		Dec. 31, 2012		Sep. 30, 2012		Jun. 30, 2012		Jun. 30, 2013		Jun. 30, 2012
Tax Credit Investment Impact on Income
Historical and estimated future impact
Amortization related to tax credit investments, net of taxes	$	(3.1)	$	(3.2)	$	(3.1)	$	(5.0)	$	(2.9)	$	(6.3)	$	(5.8)
Realized losses related to tax credit investments, net of taxes		(0.7)		(0.3)		(1.8)		(0.2)		(0.4)		(1.0)		(0.6)
Tax credits		9.5		9.5		8.9		9.5		7.5		19.0		15.1

Impact to net income	$	5.7	$	6.0	$	4.0	$	4.3	$	4.2	$	11.7	$	8.7


Carrying value of invested asset	$	202.1	$	206.7	$	210.7	$	213.2	$	219.7	$	202.1	$	219.7

Future estimated impact to net income:												2013	$	12.8
												2014		19.6
												2015 & beyond		46.9

													$	79.3


Historical information	For the Years Ended
	2012		2011		2010		2009		2008
Amortization related to tax credit investments, net of taxes	$	(13.9)	$	(9.2)	$	(6.3)	$	(5.9)	$	(7.8)
Realized losses related to tax credit investments, net of taxes		(2.6)		(2.0)		—		—		—
Tax credits		33.5		17.4		10.9		9.6		8.3

Impact to net income	$	17.0	$	6.2	$	4.6	$	3.7	$	0.5

¹ Prepayment-related income includes make-whole premiums and consent fees on early calls or tenders of fixed maturities, prepayment speed adjustments on structured securities, and prepayment fees on our commercial mortgage loans.

² Other includes net gains (losses) on calls and redemptions, and changes in the fair value of convertible fixed maturities.

³ Marketable equity securities, trading includes net gains (losses) on changes in fair value.

Symetra Financial Corporation

2Q 2013 Financial Supplement

Sales by Segment and Product

(In millions)


	For the Three Months Ended										For the Six Months Ended
	Jun. 30, 2013		Mar. 31, 2013		Dec. 31, 2012		Sep. 30, 2012		Jun. 30, 2012		Jun. 30, 2013		Jun. 30, 2012
Benefits Division ¹
Medical stop-loss	$	16.7	$	51.9	$	18.6	$	24.1	$	29.6	$	68.6	$	88.7
Limited benefit medical		1.0		1.7		1.4		3.8		4.2		2.7		7.1
Group life & disability income		3.6		12.9		5.7		3.4		1.8		16.5		6.5

Total	$	21.3	$	66.5	$	25.7	$	31.3	$	35.6	$	87.8	$	102.3

Retirement Division — Deferred Annuities ²
Fixed annuities	$	121.2	$	161.3	$	174.1	$	116.2	$	247.2	$	282.5	$	532.7
Fixed indexed annuities		309.8		148.7		115.8		43.2		73.0		458.5		133.6
Variable annuities		10.5		12.0		10.9		7.1		5.3		22.5		13.0

Total	$	441.5	$	322.0	$	300.8	$	166.5	$	325.5	$	763.5	$	679.3

Retirement Division — Income Annuities ²
SPIA	$	42.1	$	38.4	$	43.6	$	37.6	$	64.1	$	80.5	$	92.3
Structured settlements		3.4		2.3		14.0		11.9		31.2		5.7		58.8

Total	$	45.5	$	40.7	$	57.6	$	49.5	$	95.3	$	86.2	$	151.1

Individual Life Division
Term life ¹	$	0.7	$	0.5	$	0.6	$	0.5	$	0.6	$	1.2	$	1.1
Universal life ¹		2.2		1.6		0.5		0.4		0.4		3.8		0.7
Single premium life ³		0.1		0.2		0.2		0.7		2.2		0.3		4.4

Individual sales		3.0		2.3		1.3		1.6		3.2		5.3		6.2
BOLI ⁴		—		—		—		—		—		—		2.0
COLI single premium⁴		0.3		2.4		—		—		—		2.7		—
COLI recurring premium ⁵		3.0		—		—		—		—		3.0		—

Institutional markets		3.3		2.4		—		—		—		5.7		2.0

Total	$	6.3	$	4.7	$	1.3	$	1.6	$	3.2	$	11.0	$	8.2

¹	Represents annualized first-year premiums net of first year policy lapses.

²	Represents deposits for new policies net of first year policy lapses and/or surrenders.

³	Represents 10% of new deposits net of first year policy lapses and/or surrenders.

⁴	Represents 10% of deposits.

⁵	Represents deposits for new policies.

Symetra Financial Corporation

2Q 2013 Financial Supplement

Book Value, Adjusted Book Value and Statutory Book Value per Share

(In millions, except per share amounts)


	As of
	Jun. 30, 2013		Mar. 31, 2013		Dec. 31, 2012		Sep. 30, 2012		Jun. 30, 2012
Book value per common share ¹	$	25.81	$	26.10	$	26.29	$	26.37	$	24.46

Non-GAAP Financial Measures:
Adjusted book value per common share ²	$	19.17	$	19.40	$	18.97	$	18.78	$	18.39
Adjusted book value per common share, as converted ³	$	19.17	$	18.32	$	17.94	$	17.78	$	17.44
Statutory book value per common share ⁴	$	18.65	$	18.66	$	18.25	$	18.12	$	17.70

Numerator:
Total stockholders’ equity	$	3,040.1	$	3,604.2	$	3,630.1	$	3,641.2	$	3,378.4
AOCI		782.6		1,293.1		1,371.2		1,404.3		1,188.0

Adjusted book value	$	2,257.5	$	2,311.1	$	2,258.9	$	2,236.9	$	2,190.4
Assumed proceeds from exercise of warrants		—		218.1		218.1		218.1		218.1

Adjusted book value, as converted	$	2,257.5	$	2,529.2	$	2,477.0	$	2,455.0	$	2,408.5
Total stockholders’ equity	$	3,040.1	$	3,604.2	$	3,630.1	$	3,641.2	$	3,378.4
Stockholders’ equity of non-insurance entities		(301.6)		(301.2)		(290.2)		(283.8)		(275.8)
Statutory and other adjustments		(817.2)		(1,350.4)		(1,427.3)		(1,450.9)		(1,234.3)
Asset valuation reserve (AVR)		275.7		269.9		261.3		252.2		239.8

Statutory book value	$	2,197.0	$	2,222.5	$	2,173.9	$	2,158.7	$	2,108.1

Denominator: ⁵
Common shares outstanding		117.792		119.099		119.088		119.120		119.131
Total common shares outstanding and shares subject to warrants		117.792		138.075		138.064		138.096		138.107

¹	Book value per common share is calculated as stockholders’ equity divided by the sum of common shares outstanding and shares subject to warrants in the periods they were outstanding. The warrants were net-share settled on June 20, 2013, resulting in the issuance of 5.298 shares of common stock.

²	Adjusted book value per common share is calculated as adjusted book value divided by common shares outstanding.

Adjusted book value per common share, as converted, is calculated as adjusted book value, as converted divided by the sum of common shares outstanding and shares subject to warrants in the periods they were outstanding. The warrants were net-share settled on June 20, 2013, resulting in the issuance of 5.298 shares of common stock. As of June 30, 2013 this measure is equivalent to adjusted book value per share.

⁴	Statutory book value per common share is calculated based on statutory book value divided by common shares outstanding.


	As of
	Jun. 30, 2013			Mar. 31, 2013			Dec. 31, 2012			Sep. 30, 2012			Jun. 30, 2012
⁵ Reconciliation of outstanding shares:
Common shares outstanding, beginning of period		119.099			119.088			119.120			119.131			119.074
Shares issued		5.300			—			—			—			—
Employee stock purchase plan shares issued		0.042			0.038			0.037			0.025			0.038
Restricted shares issued, net		(0.004	)		0.283			(0.006	)		(0.032	)		0.021
Shares repurchased		(6.645	)		(0.310	)		(0.063	)		(0.004	)		(0.002	)

Common shares outstanding, end of period		117.792			119.099			119.088			119.120			119.131
Outstanding warrants		—			18.976			18.976			18.976			18.976

Total common shares outstanding and shares subject to outstanding warrants, end of period		117.792			138.075			138.064			138.096			138.107



	As of
	Jun. 30, 2013			Mar. 31, 2013			Dec. 31, 2012			Sep. 30, 2012			Jun. 30, 2012
Tangible book value:
Total stockholders’ equity	$	3,040.1		$	3,604.2		$	3,630.1		$	3,641.2		$	3,378.4
Less:
Deferred policy acquisition costs		249.6			172.1			155.8			146.1			173.2
Goodwill and other		132.0			93.1			86.2			83.2			102.4

Tangible Book Value	$	2,658.5		$	3,339.0		$	3,388.1		$	3,411.9		$	3,102.8

Tangible book value is a non-GAAP financial measure calculated as stockholders’ equity excluding deferred policy acquisition costs, goodwill, intangible assets and certain other non-tangible assets. Stockholders’ equity is the most directly comparable GAAP measure to tangible book value.

Symetra Financial Corporation

2Q 2013 Financial Supplement

ROE and Operating ROAE

(In millions)


	Twelve Months Ended
	Jun. 30, 2013		Mar. 31, 2013		Dec. 31, 2012		Sep. 30, 2012		Jun. 30, 2012
ROE:
Net income for the twelve months ended ¹	$	197.2	$	196.0	$	205.4	$	248.1	$	203.4
Average stockholders’ equity ²	$	3,458.8	$	3,481.7	$	3,383.9	$	3,266.3	$	3,063.5

ROE		5.7%		5.6%		6.1%		7.6%		6.6%

Operating ROAE:
Adjusted operating income for the twelve months ended ¹	$	180.6	$	176.4	$	185.3	$	203.5	$	204.5
Average adjusted book value ³	$	2,251.0	$	2,230.4	$	2,185.7	$	2,138.1	$	2,094.3

Operating ROAE		8.0%		7.9%		8.5%		9.5%		9.8%

¹ The twelve months ended information is derived by adding the four most recent quarters of net income or adjusted operating income.

² Average stockholders’ equity is derived by averaging ending stockholders' equity for the most recent five quarters.

³ Average adjusted book value is derived by averaging ending stockholders' equity less AOCI, for the most recent five quarters.

Calculation of average stockholders’ equity:

The following data can be used to recalculate the average stockholders’ equity and average adjusted book value amounts used in the calculation of ROE and operating ROAE.


		As of
		2013		2012		2011
Stockholders’ Equity
	Dec. 31	$	—	$	3,630.1	$	3,114.9
	Sep. 30		—		3,641.2		3,042.2
	Jun. 30		3,040.1		3,378.4		2,627.3
	Mar. 31		3,604.2		3,154.7		2,410.2
AOCI
	Dec. 31	$	—	$	1,371.2	$	1,027.3
	Sep. 30		—		1,404.3		1,021.1
	Jun. 30		782.6		1,188.0		609.7
	Mar. 31		1,293.1		1,000.1		443.7

Reconciliation of adjusted operating income:

The following data together with other data found throughout the supplement can be used to recalculate adjusted operating income for the twelve months ended December 31, 2012, September 30, 2012, and June 30, 2012.


	Three Months Ended
	Mar. 31 2012		Dec. 31 2011		Sep. 30 2011
Net income	$	75.4	$	73.7	$	10.5
Less: Net realized investment gains (losses) (net of taxes)		16.9		22.2		(36.8)
Add: Net realized gains (losses) - FIA (net of taxes)		0.8		(0.4)		(0.4)

Adjusted operating income	$	59.3	$	51.1	$	46.9

Symetra Financial Corporation

2Q 2013 Financial Supplement

Addendum

RMBS Prepayment Exposure

(In millions)


																		Jun. 30, 2013				Prepayment Speed
																		Trailing 12 Month				Adjustment ²
Vintage ¹	Amortized Cost		Unrealized Gain/ (Loss)			Fair Value		Gross Discount		Gross Premium			Average Mortgage Loan Rate			2Q 2013 Average Prepayment Speed		Average Prepayment speed		Max Prepayment speed		Q2 2013			YTD 2013
Agency:
*CMO*
2013	$	1.9	$	(0.1	)	$	1.8	$	0.1	$	—			2.9	%		—		—		—	$	—		$	—
2012		116.0		(2.2	)		113.8		2.6		(2.6	)		3.6	%		510.6		528.6		642.3		—			—
2011		274.8		10.4			285.2		9.8		(2.0	)		3.5	%		587.6		756.1		892.8		(0.2	)		(0.4	)
2010		428.4		32.5			460.9		12.6		(7.6	)		4.5	%		440.1		432.9		488.2		(0.5	)		(0.2	)
2009		223.5		20.1			243.6		1.8		(2.5	)		4.9	%		519.2		464.5		522.4		(0.1	)		—
2008		1.0		0.1			1.1		—		—			5.0	%		797.0		719.8		797.0		—			—
2007		4.8		0.4			5.2		0.4		—			6.2	%		523.3		500.6		523.3		—			—
2006		5.8		0.1			5.9		—		—			6.6	%		285.8		269.8		289.1		—			—
2005		32.4		3.9			36.3		0.3		—			6.4	%		410.4		355.0		410.4		—			—
2004 & Prior		412.4		50.2			462.6		11.2		(3.8	)		6.2	%		451.1		410.6		467.5		0.1			0.2

Agency CMO	$	1,501.0	$	115.4		$	1,616.4	$	38.8	$	(18.5	)		4.8	%		486.1		495.6		570.8	$	(0.7	)	$	(0.4	)

*Passthrough*
2013	$	74.1	$	(3.9	)	$	70.2	$	0.6	$	(1.8	)		3.3	%		1.0		0.9		1.0	$	—		$	—
2012		75.6		(4.6	)		71.0		—		(3.0	)		3.4	%		4.7		2.9		4.7		—			—
2011		14.9		—			14.9		—		(0.6	)		4.1	%		26.1		23.5		27.1		—			—
2010		150.1		3.1			153.2		0.1		(5.9	)		4.7	%		23.4		19.2		24.2		0.1			0.1
2009		446.3		18.1			464.4		—		(18.5	)		5.9	%		12.0		11.6		14.5		0.1			(0.1	)
2008		23.7		1.9			25.6		—		(0.5	)		6.3	%		35.1		33.1		38.4		—			—
2007		17.8		1.3			19.1		0.1		(0.4	)		6.4	%		38.8		31.9		39.0		—			—
2006		5.6		0.5			6.1		—		—			6.5	%		42.5		39.4		42.5		—			—
2005		5.5		0.6			6.1		0.3		—			5.2	%		—		—		—		—			—
2004 & Prior		40.7		3.5			44.2		0.6		(0.4	)		5.8	%		27.3		25.1		30.6		—			—

Agency Passthrough		854.3		20.5			874.8		1.7		(31.1	)		5.2	%		14.7		13.2		16.4		0.2			—

Total RMBS Agency	$	2,355.3	$	135.9		$	2,491.2	$	40.5	$	(49.6	)		5.0	%							$	(0.5	)	$	(0.4	)

Non-Agency
2013	$	24.2	$	(0.2	)	$	24.0	$	0.8	$	—			4.0	%		—		—		—	$	—		$	—
2008 - 2012		—		—			—		—		—			0.0	%		—		—		—		—			—
2007		15.1		1.9			17.0		4.2		—			5.9	%		—		126.4		276.8		—			—
2006		65.5		3.0			68.5		7.8		(0.3	)		5.8	%		26.2		144.2		282.4		—			—
2005		81.1		0.6			81.7		2.4		—			5.6	%		171.4		254.0		353.7		—			—
2004 & Prior		116.2		4.0			120.2		2.6		(0.1	)		5.8	%		328.8		355.6		432.9		(0.1	)		(0.1	)

Non-Agency CMO		302.1		9.3			311.4		17.8		(0.4	)		5.6	%		178.2		242.5		336.5		(0.1	)		(0.1	)

Total RMBS Non-Agency	$	302.1	$	9.3		$	311.4	$	17.8	$	(0.4	)		5.6	%							$	(0.1	)	$	(0.1	)



Total RMBS	$	2,657.4	$	145.2		$	2,802.6	$	58.3	$	(50.0	)		5.0	%		—		—		—	$	(0.6	)	$	(0.5	)

Top 10 RMBS


																		Jun. 30, 2013				Prepayment Speed
																		Trailing 12 Month				Adjustment ²
Name	Vintage	Amortized Cost		Unrealized Gain/ (Loss)		Fair Value		Gross Discount		Gross Premium			Average Mortgage Loan Rate			2Q 2013 Average Prepayment Speed		Average Prepayment speed		Max Prepayment speed		Q2 2013		YTD 2013
GNMA	2009	$	86.3	$	2.6	$	88.9	$	—	$	(5.0	)		6.2	%		1.5		3.8		6.2	$	—	$	(0.1	)
GNMA	2009		80.6		2.6		83.2		—		(4.5	)		6.2	%		4.1		3.8		6.6		0.1		—
GNMA	2009		48.4		2.3		50.7		—		(1.5	)		6.2	%		5.8		7.2		11.2		—		—
FNMA	2009		43.6		2.3		45.9		—		(1.0	)		5.5	%		—		—		—		—		—
GNMA	2010		43.0		0.6		43.6		—		(1.8	)		4.5	%		20.5		16.2		21.6		—		—
FNMA	2009		38.9		1.5		40.4		—		(1.4	)		5.4	%		22.3		23.2		24.8		—		—
GNMA	2010		36.7		1.5		38.2		—		(1.8	)		4.9	%		458.0		392.3		458.0		—		0.1
GNMA	2010		27.9		1.4		29.3		—		(0.9	)		4.9	%		452.0		399.8		452.0		—		0.1
FHLMC	2004		27.3		1.7		29.0		0.1		—			5.5	%		718.0		651.3		718.0		—		—
GNMA	2010		24.8		2.2		27.0		0.4		—			4.5	%		362.0		381.5		406.0		—		—

Total		$	457.5	$	18.7	$	476.2	$	0.5	$	(17.9	)		—			—		—		—	$	0.1	$	0.1

¹ Vintage indicates year of origination.

² The CMO securities prepayment speed adjustment is estimated using the Public Securities Association prepayment model. The passthrough securities prepayment speed adjustment is estimated using the Conditional Prepayment Rate model.

Symetra Financial Corporation

2Q 2013 Financial Supplement

Addendum

CMBS Prepayment Exposure

(In millions)


																Prepayment Speed Adjustment ²
Vintage ¹	Amortized Cost		Unrealized Gain/(Loss)			Fair Value		Gross Discount		Gross Premium			Average Mortgage Loan Rate			Q2 2013			YTD 2013
Agency
*CMO*
2011	$	44.5	$	1.0		$	45.5	$	—	$	(1.0	)		4.8	%	$	—		$	—
2010		10.1		0.8			10.9		—		(0.1	)		5.4	%		—			—
2009		11.1		0.6			11.7		—		—			6.6	%		—			—
2008		15.5		0.2			15.7		—		(0.4	)		6.4	%		—			—
2007		37.4		0.9			38.3		—		(1.6	)		5.8	%		—			(0.1	)
2006		23.6		—			23.6		—		(1.4	)		6.0	%		—			—
2005		27.8		0.1			27.9		—		(0.8	)		5.8	%		—			—
2004 & Prior		72.3		5.6			77.9		—		(1.7	)		7.0	%		(0.1	)		(0.2	)

Agency CMO	$	242.3	$	9.2		$	251.5	$	—	$	(7.0	)		6.0	%	$	(0.1	)	$	(0.3	)

*Passthrough*
2005 - 2013	$	—	$	—		$	—	$	—	$	—			0.0	%	$	—		$	—
2004 & Prior		68.7		3.9			72.6		0.2		(1.9	)		7.5	%		—			—

Agency Passthrough		68.7		3.9			72.6		0.2		(1.9	)		7.5	%		—			—

Total CMBS Agency	$	311.0	$	13.1		$	324.1	$	0.2	$	(8.9	)		6.4	%	$	(0.1	)	$	(0.3	)

Non-Agency
2013	$	56.5	$	(4.3	)	$	52.2	$	—	$	(1.5	)		4.0	%	$	—		$	—
2012		132.9		(7.1	)		125.8		—		(2.7	)		4.9	%		—			—
2011		118.5		4.6			123.1		—		(0.7	)		5.5	%		—			—
2010		1.0		—			1.0		—		—			4.1	%		—			—
2008		59.4		5.4			64.8		1.1		(0.1	)		6.1	%		—			—
2007		363.7		49.3			413.0		11.9		(0.2	)		5.8	%		0.1			—
2006		171.1		20.5			191.6		4.9		(0.6	)		5.9	%		0.1			0.1
2005		205.0		17.9			222.9		4.6		—			5.4	%		(0.1	)		(0.1	)
2004 & Prior		32.1		1.5			33.6		—		(1.1	)		7.1	%		—			—

Non-Agency CMO		1,140.2		87.8			1,228.0		22.5		(6.9	)		5.6	%		0.1			—

Total CMBS Non-Agency	$	1,140.2	$	87.8		$	1,228.0	$	22.5	$	(6.9	)		5.6	%	$	0.1		$	—



Total CMBS	$	1,451.2	$	100.9		$	1,552.1	$	22.7	$	(15.8	)		5.7	%	$	—		$	(0.3	)

Top 10 CMBS


																	Prepayment Speed
																	Adjustment ²
Name	Vintage	Amortized Cost		Unrealized Gain/(Loss)			Fair Value		Gross Discount		Gross Premium			Average Mortgage Loan Rate			Q2 2013			YTD 2013
Bear Stearns Commercial Mortgage	2006	$	49.0	$	6.2		$	55.2	$	1.0	$	—			5.9	%	$	—		$	—
Bear Stearns Commercial Mortgage	2007		48.5		6.2			54.7		1.5		—			5.1	%		0.2			0.2
GS Mtg Sec Corp II	2005		44.7		6.4			51.1		0.3		—			5.6	%		—			—
Morgan Stanley BAML Trust	2012		43.0		(2.6	)		40.4		—		(0.9	)		4.7	%		—			—
Wachovia Bank Commercial Mortgage	2006		39.4		4.8			44.2		0.6		—			6.0	%		—			—
GNMA	2007		36.6		0.9			37.5		—		(1.6	)		5.8	%		—			—
Bear Stearns Commercial Mortgage	2007		35.9		5.6			41.5		0.8		—			5.9	%		—			(0.1	)
JP Morgan Chase Commercial Mortgage	2007		34.2		3.8			38.0		0.1		—			5.7	%		—			—
GNMA	2011		33.2		0.5			33.7		—		(0.7	)		4.7	%		—			—
Bear Stearns Commercial Mortgage	2007		33.1		7.8			40.9		3.3		—			5.7	%		(0.1	)		(0.1	)


Total		$	397.6	$	39.6		$	437.2	$	7.6	$	(3.2	)		—		$	0.1		$	—

¹ Vintage indicates year of origination.

Symetra Financial Corporation

2Q 2013 Financial Supplement

Addendum

European Exposure

(In millions)


								Sector
Country	Amortized Cost		Fair Value		% of Exposure			Sovereign Debt		Financial Industry		Other Corporate
United Kingdom	$	683.0	$	718.2		39.2	%	$	—	$	79.6	$	638.6
Netherlands		599.0		621.3		33.9	%		—		—		621.3
France		150.6		153.2		8.4	%		—		18.2		135.0
Luxembourg		128.1		133.9		7.3	%		—		—		133.9
Switzerland		88.3		94.6		5.2	%		—		94.6		—
Sweden		54.8		60.7		3.3	%		—		—		60.7
Denmark		15.9		15.1		0.8	%		—		—		15.1
Italy		9.0		9.7		0.5	%		—		—		9.7
Germany		7.7		8.3		0.5	%		—		—		8.3
Norway		5.4		6.2		0.3	%		—		—		6.2
Austria		3.9		4.1		0.2	%		—		—		4.1
Spain		2.8		2.8		0.2	%		—		—		2.8
Belgium		1.7		1.7		0.1	%		—		—		1.7
Ireland		1.0		1.1		0.1	%		—		—		1.1
Portugal		0.7		0.6		0.0	%		0.6		—		—

Total	$	1,751.9	$	1,831.5		100.0	%	$	0.6	$	192.4	$	1,638.5

Top 10 European Exposures


Name	Amortized Cost		Fair Value		Moody's	S&P
Deutsche Telekom Int Fin	$	145.8	$	150.1	Baa1	BBB+
Heineken NV		119.6		113.9	Baa1	BBB+
Royal Dutch Shell PLC		98.6		108.8	Aa1	AA
Electricite de France		95.4		97.3	Aa3	A+
Diageo Capital PLC		88.1		91.6	A3	A-
TYCO Int'l		80.8		88.6	A3	BBB+
Vodafone Group PLC		79.8		87.8	A3	A-
Tesco PLC-ADR		75.9		87.5	Baa1	BBB+
Philips Electronics NV		71.9		82.1	A3	A-
SABMiller PLC		65.4		74.0	Baa1	BBB+

Total	$	921.3	$	981.7

The table above summarizes our exposure to fixed maturities in European countries, reported in U.S. dollars and separated into sovereign debt, financial industry and other corporate debt. The country designation is based on the issuer’s country of incorporation.

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