UNITED STATES
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

REINSURANCE GROUP OF AMERICA, INCORPORATED

(Exact Name of Registrant as Specified in its Charter)

Missouri		1-11848		43-1627032
(State or Other Jurisdiction of		(Commission		(IRS Employer
Incorporation)		File Number)		Identification Number)

1370 Timberlake Manor Parkway, Chesterfield, Missouri 63017
(Address of Principal Executive Office)

Registrant’s telephone number, including area code: (636) 736-7000

     Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

o		Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o		Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o		Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o		Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

 

Item 2.02 Results of Operations and Financial Condition

On January 31, 2011, Reinsurance Group of America, Incorporated (the “Company”) issued (1) a press release announcing its earnings for the three-month period ended December 31, 2010, and providing certain additional information, a copy of which is furnished with this report as Exhibit 99.1, and (2) a Quarterly Financial Supplement for the quarter ended December 31, 2010, a copy of which is attached hereto as Exhibit 99.2. The press release also notes that a conference call will be held on February 1, 2011 to discuss the financial and operating results for the three-month period ended December 31, 2010. The press release and Quarterly Financial Supplement are furnished and are not filed pursuant to Instruction B.2 of Form 8-K.

Item 9.01 Financial Statements and Exhibits

(d) Exhibits.

Exhibit No.		Exhibit
99.1		Press Release of Reinsurance Group of America, Incorporated dated January 31, 2011
99.2		Quarterly Financial Supplement for the quarter ended December 31, 2010

SIGNATURE

     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.

EXHIBIT INDEX

Exhibit Number		Description
99.1		Press Release dated January 31, 2011
99.2		Quarterly Financial Supplement for the quarter ended December 31, 2010

Exhibit 99.1

PRESS RELEASE

REINSURANCE GROUP OF AMERICA REPORTS FOURTH-QUARTER RESULTS

	•		Fourth-quarter earnings per diluted share: net income $2.62; operating income* $2.15
	•		Premiums up 13 percent to $1.8 billion for the quarter
	•		Full-year operating return on equity* 13 percent
	•		Five-year average operating return on equity* 13 percent

ST. LOUIS, January 31, 2011 — Reinsurance Group of America, Incorporated (NYSE:RGA), a leading global provider of life reinsurance, reported fourth-quarter net income of $196.7 million, or $2.62 per diluted share, compared to $112.4 million, or $1.52 per diluted share in the prior-year quarter. Operating income* totaled $161.4 million, or $2.15 per diluted share, compared to $125.8 million, or $1.70 per diluted share in the year-ago quarter. Operating income per diluted share increased 26 percent over the year-ago quarter.

		Quarterly Results								Full-Year Results
($ in thousands, except per share data)		2010				2009				2010				2009
Net premiums		$	1,801,899			$	1,598,754			$	6,659,680			$	5,725,161
Net income			196,712				112,409				574,402				407,086
Net income per diluted share			2.62				1.52				7.69				5.55
Operating income*			161,419				125,833				504,029				438,321
Operating income per diluted share*			2.15				1.70				6.75				5.98
Book value per share			68.71				52.99
Book value per share (excl. Accumulated Other Comprehensive Income “AOCI”)*			56.34				48.89
Total assets			29,081,908				25,249,501

Net income for the year increased 41 percent to $574.4 million, or $7.69 per diluted share, from $407.1 million, or $5.55 per diluted share, in 2009. Operating income* rose 15 percent and totaled $504.0 million, or $6.75 per diluted share, compared with $438.3 million, or $5.98 per diluted share, the year before. Foreign currency fluctuations benefited year-to-date operating income per diluted share by $0.16. In particular, Canadian dollar appreciation versus the U.S. dollar increased consolidated after-tax operating income by $7.6 million, or $0.10 per diluted share, for the year. Net premiums increased $934.5 million, or 16 percent, and net investment income rose $116.2 million, or 10 percent, compared to 2009. Net premiums for the group reinsurance business acquired at the beginning of 2010 totaled $301.4 million.

For the quarter, consolidated net premiums were up 13 percent, to $1,801.9 million, including $73.8 million from the group reinsurance business. Holding foreign exchange rates constant, premiums rose 11 percent. Investment income increased 13 percent to $355.2 million from $315.2 million in the year-earlier quarter, with average investment yields of 5.43 percent and 5.85 percent, respectively. Excluding the change in fair value of option contracts supporting equity-indexed annuities, investment income increased $23.1 million, or 8 percent, to 310.1 million, primarily due

to a larger relative asset base. Net foreign currency fluctuations contributed less than $1.0 million, after taxes, to fourth-quarter operating income.

In mid-December, as part of overall tax legislation, Congress passed an extension of the active financing exception legislation. As a result, the company recorded a cumulative reduction to the income tax provision of $14.9 million, or $0.20 per diluted share lowering the effective tax rate for the fourth quarter.

A. Greig Woodring, president and chief executive officer, commented, “We are pleased with our results for the fourth quarter and 2010 overall. For 2010, we posted double digit growth in net premiums and operating income per share. Claims experience was in line with expectations on a consolidated basis. Book value per share increased 30 percent for the year, reflecting strong net income and improved market conditions. Investment impairments were significantly reduced from 2009 levels.

“Our annualized operating return on equity was 16 percent for the quarter and 13 percent for the year, the fifth consecutive year in which we have reported a return of at least 13 percent. RGA is well capitalized and we continually evaluate business opportunities and capital management strategies while aiming to provide optimal long-term value to our shareholders. We are well-positioned in all major life reinsurance markets and continue to strive to meet our clients’ needs across the globe.”

SEGMENT RESULTS

U.S.

The U.S. Traditional sub-segment reported pre-tax net income of $113.3 million for the quarter compared with $74.3 million in the prior year. Pre-tax operating income increased to $107.1 million from $82.1 million the year before, when higher-than-expected claims hampered results. Current-quarter mortality experience was better-than-expected. Net premiums exceeded $1.0 billion, including $70.4 million from the U.S. group reinsurance business, and increased 10 percent compared with the prior-year quarter. For 2010, net premiums increased 14 percent to $3,776.0 million, including $286.6 million from the U.S. group reinsurance business.

The U.S. Asset Intensive business reported pre-tax income of $56.4 million compared with $6.3 million a year ago. The increase was primarily due to market-driven changes in the fair values of various free-standing and embedded derivatives. Excluding the impact of those derivatives, pre-tax operating income increased to $20.0 million from $13.9 million a year ago. Strong equity market performance and a $3.8 million recapture fee contributed to the improvements.

Canada

Canadian operations reported pre-tax net income of $36.2 million, compared with $45.8 million in the fourth quarter of 2009. Pre-tax operating income was very strong and totaled $36.6 million, an increase of 19 percent over last year’s $30.7 million, reflecting favorable mortality experience. Foreign currency fluctuations benefited pre-tax operating income by approximately $1.9 million. On a Canadian dollar basis, net premiums increased 17 percent. On a U.S. dollar basis, net premiums were up 22 percent, to $205.9 million from $168.5 million last year. For the year, net premiums were up 18 percent on a Canadian dollar basis.

Asia Pacific

Asia Pacific reported pre-tax net income of $10.1 million compared with $23.5 million in the fourth quarter of 2009. Pre-tax operating income decreased to $8.1 million from $24.8 million a year ago, primarily attributable to higher-than-expected group disability claims in Australia. Net premiums increased to $322.5 million from $283.4 million in the prior year, with strong production in Australia and Japan, and also benefited by approximately $21.0 million due to foreign currency fluctuations. For the year, net premiums were up 14 percent on a U.S. dollar basis and 3 percent on an original currency basis.

Europe & South Africa

Europe & South Africa’s fourth-quarter pre-tax net income increased to $35.4 million from $24.5 million in the year-ago quarter. Pre-tax operating income increased to $36.4 million from $23.9 million last year due to favorable claims experience across all markets in this segment. Net premiums were up to $258.0 million from $224.5 million in the prior-year quarter, primarily due to strong production in the UK and several other European markets. Foreign currency exchange rates had adverse effects totaling $5.5 million and $0.7 million on net premiums and pre-tax operating income, respectively. For the year, net premiums were up 17 percent on a U.S. dollar basis and 18 percent on an original currency basis.

Corporate and Other

Corporate and Other reported pre-tax net income of $18.4 million and pre-tax operating income of $7.3 million for the quarter. Results from this segment include investment income and realized gains and losses associated with unallocated assets, debt servicing costs and other corporate-related activities.

2011 Guidance

Management projects 2011 operating income per diluted share to be within a range of $6.70 to $7.30. This guidance assumes an expected level of death claims, which are prone to normal short-term statistical fluctuations that can significantly affect results on quarterly and annual bases. Additionally, the guidance reflects approximately $0.20 per diluted share negative impact due to lower anticipated investment yields in 2011. On a U.S. dollar basis, the company expects consolidated net premiums to increase by approximately 8 percent to 10 percent.

Dividend Declaration

The company’s board of directors declared a regular quarterly dividend of $0.12, payable February 28 to shareholders of record as of February 9.

Earnings Conference Call

A conference call to discuss fourth-quarter results will begin at 9 a.m. Eastern Time on Tuesday, February 1. Interested parties may access the call by dialing 877-627-6581 (domestic) or 719-325-4836 (international). The access code is 4247736. A live audio webcast of the conference call will be available on the company’s investor relations website at www.rgare.com. A replay of the conference call will be available at the same address for 90 days following the conference call. A telephonic replay will also be available through February 8 at 888-203-1112 (domestic) or 719-457-0820 (international), access code 4247736.

The company has posted to its website a Quarterly Financial Supplement that includes financial information for all segments as well as information on its investment portfolio. Additionally, the company posts periodic reports, press releases and other useful information on its investor relations website.

Use of Non-GAAP Financial Measures

RGA uses a non-GAAP financial measure called operating income as a basis for analyzing financial results. This measure also serves as a basis for establishing target levels and awards under RGA’s management incentive programs. Management believes that operating income, on a pre-tax and after-tax basis, better measures the ongoing profitability and underlying trends of the company’s continuing operations, primarily because that measure excludes the effect of net investment related gains and losses, as well as changes in the fair value of certain embedded derivatives and related deferred acquisition costs. These items can be volatile, primarily due to the credit market and interest rate environment, and are not necessarily indicative of the performance of the company’s underlying businesses. Additionally, operating income excludes any net gain or loss from discontinued operations and the cumulative effect of any accounting changes, which management believes are not indicative of the company’s ongoing operations. The definition of operating income can vary by company and is not considered a substitute for GAAP net income. Reconciliations to GAAP net income are provided in the following tables. Additional financial information can be found in the Quarterly Financial Supplement on RGA’s Investor Relations website at www.rgare.com in the “Quarterly Results” tab and in the “Featured Report” section.

Book value per share outstanding before impact of AOCI is a non-GAAP financial measure that management believes is important in evaluating the balance sheet in order to ignore the effects of unrealized amounts primarily associated with mark-to-market adjustments on investments and foreign currency translation.

Operating return on equity is a non-GAAP financial measure calculated as operating income divided by average shareholders’ equity excluding AOCI.

About RGA

Reinsurance Group of America, Incorporated is among the largest global providers of life reinsurance with subsidiary companies or offices in Australia, Barbados, Bermuda, Canada, China, France, Germany, Hong Kong, India, Ireland, Italy, Japan, Mexico, the Netherlands, Poland, South Africa, South Korea, Spain, Taiwan, the United Kingdom and the United States. Worldwide, the company has approximately $2.5 trillion of life reinsurance in force, and assets of $29.1 billion.

Cautionary Statement Regarding Forward-looking Statements

This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, among others, statements relating to projections of the earnings, revenues, income or loss, future financial performance and growth potential of Reinsurance Group of America, Incorporated and its subsidiaries (which we refer to in the following paragraphs as “we,” “us” or “our”). The words “intend,” “expect,” “project,” “estimate,” “predict,” “anticipate,” “should,” “believe,” and other similar expressions also are intended to identify forward-looking statements. Forward-looking statements are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified. Future events and actual results,

performance and achievements could differ materially from those set forth in, contemplated by or underlying the forward-looking statements.

Numerous important factors could cause actual results and events to differ materially from those expressed or implied by forward-looking statements including, without limitation, (1) adverse capital and credit market conditions and their impact on our liquidity, access to capital, and cost of capital, (2) the impairment of other financial institutions and its effect on our business, (3) requirements to post collateral or make payments due to declines in market value of assets subject to our collateral arrangements, (4) the fact that the determination of allowances and impairments taken on our investments is highly subjective, (5) adverse changes in mortality, morbidity, lapsation, or claims experience, (6) changes in our financial strength and credit ratings and the effect of such changes on our future results of operations and financial condition, (7) inadequate risk analysis and underwriting, (8) general economic conditions or a prolonged economic downturn affecting the demand for insurance and reinsurance in our current and planned markets, (9) the availability and cost of collateral necessary for regulatory reserves and capital, (10) market or economic conditions that adversely affect the value of our investment securities or result in the impairment of all or a portion of the value of certain of our investment securities, (11) market or economic conditions that adversely affect our ability to make timely sales of investment securities, (12) risks inherent in our risk management and investment strategy, including changes in investment portfolio yields due to interest rate or credit quality changes, (13) fluctuations in U.S. or foreign currency exchange rates, interest rates, or securities and real estate markets, (14) adverse litigation or arbitration results, (15) the adequacy of reserves, resources, and accurate information relating to settlements, awards, and terminated and discontinued lines of business, (16) the stability of and actions by governments and economies in the markets in which we operate, (17) competitive factors and competitors’ responses to our initiatives, (18) the success of our clients, (19) successful execution of our entry into new markets, (20) successful development and introduction of new products and distribution opportunities, (21) our ability to successfully integrate and operate reinsurance business that we acquire, (22) regulatory action that may be taken by state Departments of Insurance with respect to us, (23) our dependence on third parties, including those insurance companies and reinsurers to which we cede some reinsurance, third-party investment managers, and others, (24) the threat of natural disasters, catastrophes, terrorist attacks, epidemics, or pandemics anywhere in the world where we or our clients do business, (25) changes in laws, regulations, and accounting standards applicable to us, our subsidiaries, or our business, (26) the effect of our status as an insurance holding company and regulatory restrictions on our ability to pay principal and interest on our debt obligations, and (27) other risks and uncertainties described in this document and in our other filings with the Securities and Exchange Commission.

Forward-looking statements should be evaluated together with the many risks and uncertainties that affect our business, including those mentioned in this document and described in the periodic reports we file with the Securities and Exchange Commission. These forward-looking statements speak only as of the date on which they are made. We do not undertake any obligations to update these forward-looking statements, even though our situation may change in the future. We qualify all of our forward-looking statements by these cautionary statements. For a discussion of the risks and uncertainties that could cause actual results to differ materially from those contained in the forward-looking statements, you are advised to review the risk factors in our 2009 Form 10-K.

REINSURANCE GROUP OF AMERICA, INCORPORATED AND SUBSIDIARIES
Reconciliation of Consolidated Net Income to Operating Income
(Dollars in thousands)

		Three Months Ended								Twelve Months Ended
		December 31,								December 31,
(Unaudited)		2010				2009				2010				2009
GAAP net income		$	196,712			$	112,409			$	574,402			$	407,086
Reconciliation to operating income:
Capital (gains) losses, derivatives and other, included in investment related (gains) losses, net			59,317				41,347				(50,810	)			194,725
Capital (gains) losses on funds withheld:
Included in investment income			(5,356	)			—				(13,276	)			—
Included in policy acquisition costs and other insurance expenses			515				—				1,588				—
Embedded derivatives:
Included in investment related (gains) losses, net			(107,243	)			(31,946	)			(85,467	)			(215,209	)
Included in interest credited			(16,732	)			8,166				6,433				(8,828	)
Included in policy acquisition costs and other insurance expenses			1,955				(521	)			368				1,587
DAC offset, net			32,251				(3,622	)			70,791				84,229
Gain on debt repurchase			—				—				—				(25,269	)
Operating income		$	161,419			$	125,833			$	504,029			$	438,321

Reconciliation of Consolidated Pre-tax Net Income to Pre-tax Operating Income
(Dollars in thousands)

		Three Months Ended								Twelve Months Ended
		December 31,								December 31,
(Unaudited)		2010				2009				2010				2009
Income before income taxes		$	275,257			$	160,165			$	863,817			$	592,345
Reconciliation to pre-tax operating income:
Capital (gains) losses, derivatives and other, included in investment related (gains) losses, net			91,401				65,676				(76,672	)			303,398
Capital (gains) losses on funds withheld:
Included in investment income			(8,240	)			—				(20,424	)			—
Included in policy acquisition costs and other insurance expenses			793				—				2,443				—
Embedded derivatives:
Included in investment related (gains) losses, net			(164,989	)			(49,148	)			(131,488	)			(331,091	)
Included in interest credited			(25,741	)			12,563				9,897				(13,581	)
Included in policy acquisition costs and other insurance expenses			3,008				(801	)			566				2,442
DAC offset, net			49,618				(5,572	)			108,909				129,583
Gain on debt repurchase			—				—				—				(38,875	)
Pre-tax operating income		$	221,107			$	182,883			$	757,048			$	644,221

REINSURANCE GROUP OF AMERICA, INCORPORATED AND SUBSIDIARIES
Reconciliation of Pre-tax Net Income to Pre-tax Operating Income
(Dollars in thousands)

		Three Months Ended December 31, 2010
						Capital				Change in
						(gains) losses,				value of				Pre-tax
		Pre-tax net				derivatives				embedded				operating
(Unaudited)		income				and other, net				derivatives, net				income
U.S. Operations:
Traditional		$	113,341			$	(6,246	)		$	—			$	107,095
Asset Intensive			56,361				13,303	(1)			(49,683	)(2)			19,981
Financial Reinsurance			5,555				23				—				5,578
Total U.S.			175,257				7,080				(49,683	)			132,654
Canada Operations			36,189				454				—				36,643
Europe & South Africa			35,357				1,030				—				36,387
Asia Pacific Operations			10,071				(1,949	)			—				8,122
Corporate and Other			18,383				(11,082	)			—				7,301
Consolidated		$	275,257			$	(4,467	)		$	(49,683	)		$	221,107

		Three Months Ended December 31, 2009
						Capital				Change in
		Pre-tax net				(gains) losses,				value of				Pre-tax
		income				derivatives				embedded				operating
(Unaudited)		(loss)				and other, net				derivatives, net				income
U.S. Operations:
Traditional		$	74,303			$	7,842			$	—			$	82,145
Asset Intensive			6,288				12,308	(1)			(4,727	)(2)			13,869
Financial Reinsurance			4,646				(26	)			—				4,620
Total U.S.			85,237				20,124				(4,727	)			100,634
Canada Operations			45,788				(15,053	)			—				30,735
Europe & South Africa			24,462				(576	)			—				23,886
Asia Pacific Operations			23,528				1,269				—				24,797
Corporate and Other			(18,850	)			21,681				—				2,831
Consolidated		$	160,165			$	27,445			$	(4,727	)		$	182,883

REINSURANCE GROUP OF AMERICA, INCORPORATED AND SUBSIDIARIES
Reconciliation of Pre-tax Net Income to Pre-tax Operating Income
(Dollars in thousands)

		Twelve Months Ended December 31, 2010
						Capital				Change in
						(gains) losses,				value of				Pre-tax
		Pre-tax net				derivatives				embedded				operating
(Unaudited)		income				and other, net				derivatives, net				income
U.S. Operations:
Traditional		$	390,055			$	(24,824	)		$	—			$	365,231
Asset Intensive			131,878				(34,881	)(1)			(30,711	)(2)			66,286
Financial Reinsurance			17,457				86				—				17,543
Total U.S.			539,390				(59,619	)			(30,711	)			449,060
Canada Operations			122,378				(8,747	)			—				113,631
Europe & South Africa			85,834				(2,584	)			—				83,250
Asia Pacific Operations			88,760				(5,000	)			—				83,760
Corporate and Other			27,455				(108	)			—				27,347
Consolidated		$	863,817			$	(76,058	)		$	(30,711	)		$	757,048

		Twelve Months Ended December 31, 2009
						Capital				Change in
						(gains) losses,				value of				Gain on				Pre-tax
		Pre-tax net				derivatives				embedded				debt				operating
(Unaudited)		income				and other, net				derivatives, net				repurchase				income
U.S. Operations:
Traditional		$	255,723			$	83,884			$	—			$	—			$	339,607
Asset Intensive			37,085				(12,674	)(1)			21,432	(2)			—				45,843
Financial Reinsurance			15,910				(98	)			—				—				15,812
Total U.S.			308,718				71,112				21,432				—				401,262
Canada Operations			106,335				(18,458	)			—				—				87,877
Europe & South Africa			52,341				(1,252	)			—				—				51,089
Asia Pacific Operations			83,546				1,027				—				—				84,573
Corporate and Other			41,405				16,890				—				(38,875	)			19,420
Consolidated		$	592,345			$	69,319			$	21,432			$	(38,875	)		$	644,221

REINSURANCE GROUP OF AMERICA, INCORPORATED AND SUBSIDIARIES
Per Share and Shares Data
(In thousands, except per share data)

		Three Months Ended								Twelve Months Ended
		December 31,								December 31,
(Unaudited)		2010				2009				2010				2009
Diluted earnings per share from operating income		$	2.15			$	1.70			$	6.75			$	5.98
Earnings per share from net income:
Basic earnings per share		$	2.68			$	1.54			$	7.85			$	5.59
Diluted earnings per share		$	2.62			$	1.52			$	7.69			$	5.55
Weighted average number of common and common equivalent shares outstanding			75,052				74,195				74,694				73,327

		At or for the Twelve Months
		Ended December 31,
(Unaudited)		2010				2009
Treasury shares			—				374
Common shares outstanding			73,363				72,990
Book value per share outstanding		$	68.71			$	52.99
Book value per share outstanding, before impact of AOCI		$	56.34			$	48.89

REINSURANCE GROUP OF AMERICA, INCORPORATED AND SUBSIDIARIES
Condensed Consolidated Statements of Income
(Dollars in thousands)

		Three Months Ended								Twelve Months Ended
		December 31,								December 31,
(Unaudited)		2010				2009				2010				2009
Revenues:
Net premiums		$	1,801,899			$	1,598,754			$	6,659,680			$	5,725,161
Investment income, net of related expenses			355,227				315,159				1,238,660				1,122,462
Investment related gains (losses), net:
Other-than-temporary impairments on fixed maturity securities			(16,097	)			(40,552	)			(31,920	)			(128,834	)
Other-than-temporary impairments on fixed maturity securities transferred to (from) accumulated other comprehensive income			(186	)			3,910				2,045				16,045
Other investment related gains (losses), net			90,916				22,505				241,905				146,937
Total investment related gains (losses), net			74,633				(14,137	)			212,030				34,148
Other revenue			42,370				44,059				151,360				185,051
Total revenues			2,274,129				1,943,835				8,261,730				7,066,822
Benefits and expenses:
Claims and other policy benefits			1,470,845				1,370,175				5,547,155				4,819,426
Interest credited			79,103				128,779				309,982				323,738
Policy acquisition costs and other insurance expenses			319,444				179,333				1,079,953				958,326
Other operating expenses			102,216				80,532				361,971				294,779
Interest expense			25,215				22,985				90,996				69,940
Collateral finance facility expense			2,049				1,866				7,856				8,268
Total benefits and expenses			1,998,872				1,783,670				7,397,913				6,474,477
Income before income taxes			275,257				160,165				863,817				592,345
Income tax expense			78,545				47,756				289,415				185,259
Net income		$	196,712			$	112,409			$	574,402			$	407,086

Investor Contact

Jack B. Lay
Senior Executive Vice President and Chief Financial Officer
(636) 736-7000

Exhibit 99.2

Financial Supplement

Fourth Quarter 2010

(Unaudited)

World Headquarters		Internet address		Contacts:
1370 Timberlake Manor Parkway		www.rgare.com		Jack B. Lay
Chesterfield, Missouri 63017				Senior Executive Vice President
U.S.A.				and Chief Financial Officer
				Phone: (636) 736-7000
				e-mail: jlay@rgare.com
				John Hayden
				Sr. Vice President
				Controller & Investor Relations
				Phone: (636) 736-7243
				e-mail: jhayden@rgare.com

Current Ratings

Standard & Poor’s

A.M. Best

Moody’s

Financial Strength Ratings

RGA Reinsurance Company

AA-

A+

A1

RGA Life Reinsurance Company of Canada

AA-

A+

NR

RGA International Reinsurance Company Limited

AA-

NR

NR

RGA Global Reinsurance Company Limited

AA-

NR

NR

Senior Debt Ratings

Reinsurance Group of America, Incorporated

A-

a-

Baa1

Our common stock is traded on the New York Stock Exchange under the symbol “RGA”.

Reinsurance Group of America, Incorporated
Financial Supplement
4th Quarter 2010
Table of Contents

		Page
Non-GAAP Disclosure			1
2011 Management Guidance			2
Consolidated
Financial Highlights			3
Consolidated Income Statement (incl. Operating Income Reconciliation)			4
Consolidated Operating Income Statement			5
Consolidated Balance Sheets			6
Segment Pre-tax Operating Income Summaries and Reconciliations to U.S. GAAP
U.S. Operations			7
Canada Operations			11
Europe & South Africa Operations			12
Asia Pacific Operations			13
Corporate and Other			14
Summary of Pre-tax Segment Operating Income			15
Investments
Cash and Invested Assets, Yield Summary			16
Amortized cost, Gross Unrealized Gains and Losses, Estimated Fair Values of Fixed Maturity and Equity Securities			17
Corporate Securities by Sector (Fixed Maturities and Equities)			18
Quality of Fixed Maturity Securities and Structured Fixed Maturity Securities			19
Subprime Mortgage Exposure (Including Funds Withheld Portfolios)			20
CMBS Exposure (Including Funds Withheld Portfolios)			21
Gross Unrealized Losses Aging			22
Fixed Maturity and Equity Securities Below Amortized Cost			23
Consolidated Gross Gains and Losses			24

Reinsurance Group of America, Incorporated
Financial Supplement

This Financial Supplement is for information purposes only and includes unaudited figures. This report should be read in conjunction with documents filed by Reinsurance Group of America, Incorporated with the SEC.

Non-GAAP Disclosures

RGA uses a non-GAAP financial measure called operating income as a basis for analyzing financial results. This measure also serves as a basis for establishing target levels and awards under RGA’s management incentive programs. Management believes that operating income, on a pre-tax and after-tax basis, better measures the ongoing profitability and underlying trends of the company’s continuing operations, primarily because that measure excludes the effect of net investment related gains and losses, as well as changes in the fair value of certain embedded derivatives and related deferred acquisition costs. These items can be volatile, primarily due to the credit market and interest rate environment and are not necessarily indicative of the performance of the company’s underlying businesses. Additionally, operating income excludes any net gain or loss from discontinued operations and the cumulative effect of any accounting changes, which management believes are not indicative of the company’s ongoing operations. The definition of operating income can vary by company and is not considered a substitute for GAAP net income. A reconciliation of income before income taxes of the operating segments to pre-tax operating income (loss) is presented herein.

RGA evaluates its stockholder equity position excluding the impact of Accumulated Other Comprehensive Income (“AOCI”) since the net unrealized gains or losses included in AOCI primarily relate to changes in interest rates, credit spreads on its investment securities and foreign currency fluctuations that are not permanent and can fluctuate significantly from period to period.

Additionally, RGA uses a non-GAAP financial measure called operating return on equity, which is calculated as operating income divided by average shareholder’s equity excluding AOCI.

Reinsurance Group of America, Incorporated
2011 Management Guidance

2011 Full-year Consolidated Operating Earnings per Diluted Share Guidance

Management projects 2011 operating income per diluted share to be within a range of $6.70 to $7.30. This guidance assumes an expected level of death claims, which are prone to normal short-term statistical fluctuations that can significantly affect results on quarterly and annual bases. Additionally, the guidance reflects approximately $0.20 per diluted share negative impact due to lower anticipated investment yields in 2011.

2011 Full-year Premium Growth Guidance

Segment		Original Currency Basis
U.S.			5% - 7%
Canada			5% - 7%
Asia Pacific			10% - 15%
Europe & South Africa			10% - 15%
Consolidated ($USD basis)			8% - 10%
2011 Full-year Projected Foreign Currency Premium

Foreign Currency		Millions
Australian Dollar			645 - 678
Canadian Dollar			839 - 882
Euro Dollar			105 - 111
British Pound Sterling			454 - 477
Japanese Yen			17,718 - 18,626
Korean Won			201,358 - 211,684
New Zealand Dollar			77 - 81
Taiwanese Dollar			2,102 - 2,209
South African Rand			494 - 520

     

Reinsurance Group of America, Incorporated
Financial Highlights

		Three Months Ended or As of																				Current Qtr				Year-to-Date
		Dec. 31,				Sept. 30,				June 30,				March 31,				Dec. 31,				vs. PY				Dec. 31,				Dec. 31,
(USD thousands, except inforce & per share data)		2010				2010				2010				2010				2009				Quarter				2010				2009				Change
Net premiums		$	1,801,899			$	1,647,300			$	1,582,017			$	1,628,464			$	1,598,754			$	203,145			$	6,659,680			$	5,725,161			$	934,519
Net income — continuing operations			196,712				128,232				127,019				122,439				112,409				84,303				574,402				407,086				167,316
Operating income			161,419				127,703				121,899				93,008				125,833				35,586				504,029				438,321				65,708
Operating return on equity (ex AOCI) — annualized			16.0	%			13.2	%			13.0	%			10.2	%			14.3	%			1.7	%
Operating return on equity (ex AOCI) — trailing 12 months			13.2	%			12.7	%			12.7	%			13.5	%			13.1	%			0.1	%
Total assets			29,081,908				28,934,028				27,220,606				26,722,458				25,249,501				3,832,407
Assumed Life Reinsurance in Force (in billions)
U.S.		$	1,340.5			$	1,339.7			$	1,334.9			$	1,318.0			$	1,290.5			$	50.0
Canada			324.1				307.0				289.7				293.9				276.8				47.3
Europe & South Africa			467.6				446.5				401.8				395.6				408.9				58.7
Asia Pacific			408.1				385.8				340.9				355.6				348.9				59.2
Total Life Reinsurance in Force		$	2,540.3			$	2,479.0			$	2,367.3			$	2,363.1			$	2,325.1			$	215.2
Assumed New Business Production (in billions)
U.S.		$	26.2			$	30.3			$	45.1			$	40.6	(1)		$	42.5			$	(16.3	)		$	142.2			$	135.0			$	7.2
Canada			12.2				12.2				12.8				13.9				13.9				(1.7	)			51.1				43.9				7.2
Europe & South Africa			28.5				30.0				23.4				21.7				42.5				(14.0	)			103.6				121.1				(17.5	)
Asia Pacific			13.1				4.8				10.1				2.7				5.3				7.8				30.7				21.0				9.7
Total New Business Production		$	80.0			$	77.3			$	91.4			$	78.9			$	104.2			$	(24.2	)		$	327.6			$	321.0			$	6.6
Per Share and Shares Data
Basic earnings per share from continuing operations
Net income		$	2.68			$	1.75			$	1.74			$	1.68			$	1.54			$	1.14			$	7.85			$	5.59			$	2.26
Operating income		$	2.20			$	1.75			$	1.67			$	1.27			$	1.73			$	0.47			$	6.89			$	6.02			$	0.87
Diluted earnings per share from continuing operations
Net income		$	2.62			$	1.72			$	1.70			$	1.64			$	1.52			$	1.10			$	7.69			$	5.55			$	2.14
Operating income		$	2.15			$	1.72			$	1.63			$	1.25			$	1.70			$	0.45			$	6.75			$	5.98			$	0.77
Wgt. average common shares outstanding (basic)			73,277				73,162				73,141				73,046				72,895				382				73,157				72,790				367
Wgt. average common shares outstanding (diluted)			75,052				74,420				74,721				74,578				74,195				857				74,694				73,327				1,367
Common shares issued			73,364				73,364				73,364				73,364				73,364				—				73,364				73,364				—
Treasury shares			1				192				210				261				374				(373	)			1				374				(373	)
Common shares outstanding			73,363				73,172				73,154				73,103				72,990				373				73,363				72,990				373
Book value per share		$	68.71			$	68.30			$	60.73			$	56.98			$	52.99
Per share effect of accumulated other comprehensive income (AOCI)		$	12.37			$	14.48			$	8.59			$	6.49			$	4.10
Book value per share, excluding AOCI		$	56.34			$	53.82			$	52.14			$	50.49			$	48.89

     

Reinsurance Group of America, Incorporated
Consolidated GAAP Income Statement (incl. Operating Income Reconciliation)

		Three Months Ended																				Current Qtr				Year-to-Date
		Dec. 31,				Sept. 30,				June 30,				March 31,				Dec. 31,				vs. PY				Dec. 31,				Dec. 31,
(USD thousands)		2010				2010				2010				2010				2009				Quarter				2010				2009				Change
Revenues:
Net premiums		$	1,801,899			$	1,647,300			$	1,582,017			$	1,628,464			$	1,598,754			$	203,145			$	6,659,680			$	5,725,161			$	934,519
Investment income, net of related expenses			355,227				287,504				291,671				304,258				315,159				40,068				1,238,660				1,122,462				116,198
Investment related gains (losses), net
OTTI on fixed maturity securities			(16,097	)			(4,904	)			(3,489	)			(7,430	)			(40,552	)			24,455				(31,920	)			(128,834	)			96,914
OTTI on fixed maturity securities transferred to/from AOCI			(186	)			26				(139	)			2,344				3,910				(4,096	)			2,045				16,045				(14,000	)
Other investment related gains (losses), net			90,916				(11,902	)			26,620				136,271				22,505				68,411				241,905				146,937				94,968
Total investment related gains (losses), net			74,633				(16,780	)			22,992				131,185				(14,137	)			88,770				212,030				34,148				177,882
Other revenue			42,370				37,515				35,197				36,278				44,059				(1,689	)			151,360				185,051				(33,691	)
Total revenues			2,274,129				1,955,539				1,931,877				2,100,185				1,943,835				330,294				8,261,730				7,066,822				1,194,908
Benefits and expenses:
Claims and other policy benefits			1,470,845				1,393,891				1,307,239				1,375,180				1,370,175				100,670				5,547,155				4,819,426				727,729
Interest credited			79,103				94,776				79,169				56,934				128,779				(49,676	)			309,982				323,738				(13,756	)
Policy acquisition costs and other insurance expenses			319,444				157,058				237,149				366,302				179,333				140,111				1,079,953				958,326				121,627
Other operating expenses			102,216				85,409				83,147				91,199				80,532				21,684				361,971				294,779				67,192
Interest expense			25,215				25,191				25,141				15,449				22,985				2,230				90,996				69,940				21,056
Collateral finance facility expense			2,049				2,041				1,960				1,806				1,866				183				7,856				8,268				(412	)
Total benefits and expenses			1,998,872				1,758,366				1,733,805				1,906,870				1,783,670				215,202				7,397,913				6,474,477				923,436
Income before income taxes — continuing operations			275,257				197,173				198,072				193,315				160,165				115,092				863,817				592,345				271,472
Income tax expense			78,545				68,941				71,053				70,876				47,756				30,789				289,415				185,259				104,156
Income — continuing operations			196,712				128,232				127,019				122,439				112,409				84,303				574,402				407,086				167,316
Loss from discontinued operations			—				—				—				—				—				—				—				—				—
Net income		$	196,712			$	128,232			$	127,019			$	122,439			$	112,409			$	84,303			$	574,402			$	407,086			$	167,316
Pre-tax Operating Income Reconciliation:
Income before income taxes — continuing operations			275,257				197,173				198,072				193,315				160,165				115,092				863,817				592,345				271,472
Investment and derivative losses (gains) — non-operating (1)			91,401				(37,747	)			(130,697	)			371				65,676				25,725				(76,672	)			303,398				(380,070	)
Change in value of modified coinsurance and funds withheld embedded derivatives (1)			(43,780	)			38,653				(32,512	)			(122,635	)			(3,028	)			(40,752	)			(160,274	)			(78,394	)			(81,880	)
GMXB embedded derivatives (1)			(121,209	)			16,232				140,934				(7,171	)			(46,120	)			(75,089	)			28,786				(252,697	)			281,483
Funds withheld losses (gains) — investment income			(8,240	)			(6,494	)			(5,772	)			82				—				(8,240	)			(20,424	)			—				(20,424	)
Funds withheld losses (gains) — policy acq. costs			793				954				777				(81	)			—				793				2,443				—				2,443
EIA embedded derivatives — interest credited			(25,741	)			43,070				14,990				(22,422	)			12,563				(38,304	)			9,897				(13,581	)			23,478
EIA embedded derivatives — policy acq. costs			3,008				(4,189	)			(1,503	)			3,250				(801	)			3,809				566				2,442				(1,876	)
DAC offset, net			49,618				(50,519	)			6,041				103,769				(5,572	)			55,190				108,909				129,583				(20,674	)
Gain on debt repurchase			—				—				—				—				—				—				—				(38,875	)			38,875
Operating Income Before Income Taxes		$	221,107			$	197,133			$	190,330			$	148,478			$	182,883			$	38,224			$	757,048			$	644,221			$	112,827
After-tax Operating Income Reconciliation:
Income — continuing operations			196,712				128,232				127,019				122,439				112,409				84,303				574,402				407,086				167,316
Investment and derivative losses (gains) — non-operating (1)			59,317				(25,041	)			(85,039	)			(47	)			41,347				17,970				(50,810	)			194,725				(245,535	)
Change in value of modified coinsurance and funds withheld embedded derivatives (1)			(28,457	)			25,125				(21,133	)			(79,713	)			(1,968	)			(26,489	)			(104,178	)			(50,956	)			(53,222	)
GMXB embedded derivatives (1)			(78,786	)			10,551				91,607				(4,661	)			(29,978	)			(48,808	)			18,711				(164,253	)			182,964
Funds withheld losses (gains) — investment income			(5,356	)			(4,221	)			(3,752	)			53				—				(5,356	)			(13,276	)			—				(13,276	)
Funds withheld losses (gains) — policy acq. costs			515				621				505				(53	)			—				515				1,588				—				1,588
EIA embedded derivatives — interest credited			(16,732	)			27,996				9,743				(14,574	)			8,166				(24,898	)			6,433				(8,828	)			15,261
EIA embedded derivatives — policy acq. costs			1,955				(2,723	)			(977	)			2,113				(521	)			2,476				368				1,587				(1,219	)
DAC offset, net			32,251				(32,837	)			3,926				67,451				(3,622	)			35,873				70,791				84,229				(13,438	)
Gain on debt repurchase			—				—				—				—				—				—				—				(25,269	)			25,269
Operating Income		$	161,419			$	127,703			$	121,899			$	93,008			$	125,833			$	35,586			$	504,029			$	438,321			$	65,708