Principal Investor Workshop 2017

December 7, 2017

Investor workshop

John EganVice President, Investor Relations

Welcome

2

Certain statements made by the company which are not historical facts may be considered forward-looking statements, including, without limitation, statements as to operating earnings, net income available to common stockholders, net cash flows, realized and unrealized gains and losses, capital and liquidity positions, sales and earnings trends, and management’s beliefs, expectations, goals and opinions. The company does not undertake to update these statements, which are based on a number of assumptions concerning future conditions that may ultimately prove to be inaccurate. Future events and their effects on the company may not be those anticipated, and actual results may differ materially from the results anticipated in these forward-looking statements. The risks, uncertainties and factors that could cause or contribute to such material differences are discussed in the company’s annual report on Form 10-K for the year ended Dec. 31, 2016, and in the company’s quarterly report on Form 10-Q for the quarter ended Sept. 30, 2017, filed by the company with the U.S. Securities and Exchange Commission, as updated or supplemented from time to time in subsequent filings. These risks and uncertainties include, without limitation: adverse capital and credit market conditions may significantly affect the company’s ability to meet liquidity needs, access to capital and cost of capital; conditions in the global capital markets and the economy generally; volatility or declines in the equity, bond or real estate markets; changes in interest rates or credit spreads or a sustained low interest rate environment; the company’s investment portfolio is subject to several risks that may diminish the value of its invested assets and the investment returns credited to customers; the company’s valuation of investments and the determination of the amount of allowances and impairments taken on such investments may include methodologies, estimations and assumptions that are subject to differing interpretations; any impairments of or valuation allowances against the company’s deferred tax assets; the company’s actual experience could differ significantly from its pricing and reserving assumptions; the pattern of amortizing the company’s DAC and other actuarial balances on its universal life-type insurance contracts, participating life insurance policies and certain investment contracts may change; the company may not be able to protect its intellectual property and may be subject to infringement claims; the company’s ability to pay stockholder dividends and meet its obligations may be constrained by the limitations on dividends or distributions Iowa insurance laws impose on Principal Life; changes in laws, regulations or accounting standards; results of litigation and regulatory investigations; from time to time the company may become subject to tax audits, tax litigation or similar proceedings, and as a result it may owe additional taxes, interest and penalties in amounts that may be material; applicable laws and the company’s certificate of incorporation and by-laws may discourage takeovers and business combinations that some stockholders might consider in their best interests; competition from companies that may have greater financial resources, broader arrays of products, higher ratings and stronger financial performance; a downgrade in the company’s financial strength or credit ratings; changes in investor preferences; inability to attract and retain qualified employees and sales representatives and develop new distribution sources; international business risks; fluctuations in foreign currency exchange rates; the company may need to fund deficiencies in its “Closed Block” assets that support participating ordinary life insurance policies that had a dividend scale in force at the time of Principal Life’s 1998 conversion into a stock life insurance company; the company’s reinsurers could default on their obligations or increase their rates; risks arising from acquisitions of businesses; and a computer system failure or security breach could disrupt the company’s business and damage its reputation.

Forward looking statements

3

Principal Financial Group, Inc.U.S. GAAP Financial Measures(in millions, except as indicated)

GAAP metricsTrailing 12 months

12/31/2012 12/31/2013 12/31/2014 12/31/2015 12/31/2016 09/30/2017

PFG

Net income available to common stockholders $773.6 $879.7 $1,111.1 $1,209.3 $1,316.5 $1,786.6

Common stockholders' equity attributable to parent $9,141.4 $9,142.2 $9,642.0 $9,311.6 $10,227.3 $11,996.4

Preferred stock 0.1 0.1 0.1 - - -

Preferred stock paid-in capital 541.9 541.9 541.9 - - -

Noncontrolling interest 20.0 92.8 48.0 65.8 66.5 70.9

Stockholders' equity $9,703.4 $9,777.0 $10,232.0 $9,377.4 $10,293.8 $12,067.3

* This is a non-GAAP financial measure and is reconciled to GAAP on this page

Trailing 12 months PFG 09/30/2017

Income (loss) before income taxes $2,318.7

Net realized capital (gains) losses (520.7)

Net realized capital (gains) losses pre-tax adjustments (45.5)

Pre-tax operating (earnings) losses attributable to noncontrolling interest (34.0)

Income taxes related to equity method investments 80.1

Early extinguishment of debt 86.4

Pre-tax operating earnings (losses)* $1,885.0

4

Principal Financial Group, Inc.U.S. GAAP Financial Measures(in millions, except as indicated)

GAAP metricsTrailing 12 months (9/30/2017)

As reported 3Q17 actuarial assumption review

Excluding 3Q17 actuarial assumption review*

Segment pre-tax operating earnings (losses)

RIS-Fee $524.2 $41.0 $565.2

Principal Global Investors 479.3 - 479.3

Principal International 317.7 11.8 329.5

Total Fee 1,321.2 52.8 1,374.0

RIS-Spread 385.4 (19.2) 366.2

Specialty Benefits 264.8 (14.2) 250.6

Individual Life 115.9 47.0 162.9

Total Risk 380.7 32.8 413.5

Pre-tax operating earnings (losses) excluding Corporate 2,087.3 66.4 2,153.7

Corporate (202.3) - (202.3)

Pre-tax operating earnings (losses)* $1,885.0 $66.4 $1,951.4

* This is a non-GAAP financial measure and is reconciled to GAAP on this page

5

A non-GAAP financial measure is a numerical measure of performance, financial position, or cash flows that includes adjustments from a comparable financial measure presented in accordance with U.S. GAAP.

The company uses a number of non-GAAP financial measures that management believes are useful to investors because they illustrate the performance of the company’s normal, ongoing operations, which is important in understanding and evaluating the company’s financial condition and results of operations. While such measures are also consistent with measures utilized by investors to evaluate performance, they are not, however, a substitute for U.S. GAAP financial measures. Therefore, at the end of this presentation, the company has provided reconciliations of the non-GAAP financial measures to the most directly comparable U.S. GAAP financial measure. The company adjusts U.S. GAAP financial measures for items not directly related to ongoing operations. However, it is possible these adjusting items have occurred in the past and could recur in future reporting periods. Management also uses non-GAAP financial measures for goal setting, as a basis for determining employee and senior management awards and compensation, and evaluating performance on a basis comparable to that used by investors and securities analysts.

The company also uses a variety of other operational measures that do not have U.S. GAAP counterparts, and therefore do not fit the definition of non-GAAP financial measures. Account value is an example of an operational measure that is not considered a non-GAAP financial measure.

Use of non-GAAP financial measures

6

Time Topic Presenter(s)

11:30 am Welcome John Egan & Deanna Strable

11:45 am Spread businesses Jerry Patterson

12:30 pm Risk businesses Amy Friedrich

1:15 pm Capital management Deanna Strable

1:45 pm Panel Q&A All presenters

2:15 pm Closing

Agenda

Deanna StrableChief Financial Officer

Welcome

Our businessesPrincipal Financial Group

8

RIS-Fee RIS-Spread Individual LifeSpecialty Benefits (SBD)

U.S. Insurance Solutions

(USIS)

Principal International

Principal Global

Investors

Retirement and Income

Solutions(RIS)

Corporate

Spread (17%) RIS-Spread

26%

22%

15%

17%

12%

8%

9 1 Trailing twelve months as of 9/30/2017; excludes the impact of the 2017 actuarial assumption review; excludes Corporate

Pre-tax operating earnings

Pre-tax operating earnings1

$2,153.7 million

Risk (20%) Specialty Benefits Individual Life

Fee (63%) RIS-Fee Principal Global Investors Principal International

10

Strategic importance of Spread and Risk business

Principal• Financial diversification

• Common distribution relationships to serve multiple needs of our customers

• Relative to traditional asset management competitors

- Broader array of customer solutions

- Greater diversification of distribution opportunities

Long-term shareholdervalue

Customer• Compelling customer needs

• Significant small to medium sized businesses (SMB) needs

• Positive demographics and trends

Jerry PattersonSenior Vice President, Retirement and Income Solutions

Spread businessesSafety, security, and sustainable income

Protect enough

Save enough for retirement

Have enough in retirement

12

Why we do what we do

We help people…

Just a short “Thank You” for the regular and both appreciated and needed checks for me in my retirement years. After 65+ active years in the ministry, these days alone make me yearn for action.

My wife passed away last year and my dog tries to be a good friend. No problems. God has been good.

Your regular help is a big boost. May God bless you.

…. Dan

RIS businesses

14

RIS-Fee RIS-Spread

Full Service Accumulation

Full Service Payout (Pension Risk Transfer)

Fixed Annuities

Investment Only

Bank Services

Variable Annuities

More than 750,000 people


(USIS)


Principal Global

Investors


Solutions(RIS)

Corporate

Below age 60

10%

Age 60-6926%

Age 70-7931%

Age 80-8924%

Age 90+9%

The diversified customers we serve

15

Pension Risk Transfer customers266,000 lives diversified by age

As of 9/30/2017

RIS-Spread

Individual Annuity customers191,000 lives diversified by age

Below age 60

17%

Age 60-6926%Age

70-7930%

Age 80-8920%

Age 90+7%

Market opportunities

16

• Fewer defined benefit plans

• Social security adequacy

• Mortgage debt

• Student loan debt

80M boomers

with 10,000 turning 65 every day1

• Longevity needs

• Health care costs

• Millennial mindset

Shifting profile of retirees signals the growing need for stable returns and guaranteed income:

1 LIMRA Secure Retirement Institute

RIS-Spread

17

Strong business fundamentals

Industry rankings

Pension Risk Transfer1

#3 in premium written#2 in contract count

Individual income annuity2

#3 in premium written

1 LIMRA Secure Retirement Institute, as of 9/30/2017 YTD2 LIMRA Secure Retirement Institute, as of 6/30/2017 YTD3 On a trailing twelve month basis; excludes the impacts of the 2012 and 2017 actuarial assumption reviews

RIS-Spread

4Q2012

3Q2017 CAGR

Average account value $32.8B $38.5B 3%

Net revenue3 $468M $550M 3%

Pre-tax operating earnings3 $281M $366M 5%

Pre-tax return on net revenue3 60.1% 66.6%

How we compete and differentiate

18

• Broad portfolio of institutional and retail solutions

• Focused distribution footprint

• Pricing discipline

• Shared and scalable infrastructure

RIS-Spread

Two key areas of differentiation:• Meeting the Pension Risk

Transfer (PRT) needs of SMB• Broad set of guaranteed

return and income capabilities targeting SMB and retirees

19

The Pension Risk Transfer market• More than 75 years of experience• Deep expertise in defined benefit

pension plans and Risk Transfer• Ongoing demand and needs in the

SMB market• We see the growth trend continuing

- General trend across employee benefits- Globalization- Pension Benefit Guaranty Corporation (PBGC)

premiums- Rate capitulation

$4B

$8B

$14B $14B

$17B

2013 2014 2015 2016 2017Est

1 LIMRA Secure Retirement Institute

Pension Risk Transfer

Increasing PRT industry sales1

Services33%

Manufacturing26%

Trade13%

Labor13%

Finance8%

Tax-exempt7%

Serving SMBs enhances diversification

201 As of 9/30/20172 2012 through 9/30/2017 sales; LIMRA Secure Retirement Institute


PRT new sales market share by premium and contracts2

Principal’s PRT plans by industry1

Over 90% of plans have under 100 lives

5,300 plans

0%

10%

20%

30%

40%

Premium ContractsPrincipal Top competitors

#2

#3

Key risks and mitigation strategies

21

Longevity CreditInterest rates

• Pricing uses current rate• Closely matched

assets & liabilities• Utilize derivatives to

hedge interest rate risk

• Mortality reflects current experience

• Apply mortality improvement

• Strong corporate governance

• Proven investment philosophy


Pension Risk Transfer2

#3

A guaranteed income leader

22

A one-stop-shop focused on meeting the guaranteed income needs of SMBs

1 2017 Plan Sponsor Defined Benefit Administration Survey – based on number of clients2 LIMRA Secure Retirement Institute – based on premiums as of 9/30/20173 LIMRA Secure Retirement Institute – based on premiums as of 6/30/2017

Defined benefit plan1

#1

Individual immediate and deferred

income annuities3

#3

Key takeaways

23

• Demographic tailwinds will continue; guaranteed income solutions will play an increasingly vital role in the U.S. retirement system

• Our broad portfolio of products and solutions provide us with flexibility to manage through the shifting macro environment

• Moderating interest rate environment would increase market opportunity

• We will continue to leverage our experience and expertise and will remain focused on the SMB market

Amy FriedrichPresident, U.S. Insurance Solutions

Risk businesses Provide protection and peace of mind for individuals and SMBs

Why we do what we do

25

Protect enough

Save enough for retirement

Have enough in retirement

We help people…

Individual LifeSpecialty Benefits (SBD)

26


(USIS)


Principal Global

Investors


Solutions(RIS)

Corporate

Individual Life Retail

Business Owner / Executive Solutions

Group Benefits

Individual Disability

Non-Qualified

USIS businesses

27

IndividualsBusiness owners and individuals

BusinessesEmployers and employees

Helping customers

92K employers

4M people

$3.1B premium in-force

As of 9/30/2017


28

4Q 2012 3Q 2017 CAGR

Premium and fees1 $2,334M $3,028M 6%

Pre-tax operating earnings1 $294M $413M 7%

Pre-tax return on premium and fees1 12.6% 13.7%

Proven results

1 On a trailing twelve month basis; excludes the impacts of the 2012 and 2017 actuarial assumption reviews and 1Q 2012 Individual Life amortization change


29

Economic impact• 68 million employees, representing

57% of working population1

• Steady growth rate• Contributes nearly 50% of U.S. GDP2

• Provides 66% of all net new jobs3

Market attractiveness • Paternalistic in nature• Less competition and under penetrated• Resilient and loyal

1 Department of Labor, Bureau of Statistics2 Small Business Administration GDP Update, 20123 Small Business Administration, Frequently Asked Questions, 2012

SMB market opportunities

There are 6 millionSMBs representing99% of all employers.1


Business market

61%

Individual39%

Business market

52%

Individual48%

Less than 100employees

95%

100 to 1,000employees

4%

1,000 or moreemployees

1%

30

Group Benefits in-force cases

Disability insurance

Life insurance

SMB focusNew sales premium and fees

Employerswe serve


• We’ve been in the Risk Business since inception and in the benefits business for 75 years

• We’ve built our operations around SMBs

• We have insights into employment trends

• We have insights into how business owners think

Our SMB expertise

31


32

67,000 Number of employer

customers

Average case size

38Case retention1

88%

Employer paid only

31%

Voluntary only17%

Employer paid plus voluntary

52%

New sales premium

1 Average retention for the period 1/1/2015 – 9/30/2017

Disability insurance

28%

Life25%

Dental & vision47%

In-force premium

Diversification in Group BenefitsGroup Benefits

34% of all new cases soldinclude “first-time” benefits

33

7.0%

2.9%

Group Benefits industry - contracts2

2016

Market size 1.7 million

Principal market share 8%

Principal market rank #3

Group Benefits leadership position

1 LIMRA, 2013-2016 CAGR2 In-force contracts, LIMRA 2016

Group Benefits

Principal Industry

3 year in-force premium growth1

34 Excludes the impact of actuarial assumption reviews

Group Benefits profitabilityGroup Benefits

7.9%9.0% 8.5% 9.0%

11.1%10.4%

0%

2%

4%

6%

8%

10%

12%

$0

$50

$100

$150

$200

2012 2013 2014 2015 2016 3Q 2017TTM

Pre-tax operating earnings Pre-tax return on premium and fees

Pre-tax operating earnings and pre-tax return on premium and fees(in millions)

35

Strategies to mitigate Risk• Case size mix• Product mix• Geographic diversification• Industry diversification• Renewable contracts

Mortality & Morbidity

Underwriting Risk

Pricing Risk

Diversification and Risk selection matters

Types of Risks

Group Benefits

72%

26%

2%

1 year 2 year 3 year

Rate guarantee breakdown

Rate guarantee period

Multi-channel distribution

SMBfocus

Local sales and service

Distribution mattersGroup Benefits

36

37

Modern, scalable infrastructure

• Minimal (isolated) legacy systems

• Cloud based platforms• Reengineered customer

experiences• Investing in high volume,

straight-through processing• One bill for customer• Secure

Technology matters

Online enrollment for SMB

Traditional Online Traditional Online

Group Benefits

45%

38%

$91,600

$83,100

Average life insurance purchased

Participation

55%

60%

65%

70%

75%

80%

85%

90%

38

78%

70%

Principal Industry

Claim management matters

1 Excludes the impact of actuarial assumptions reviews2 LIMRA, 2016

2016 dental claimauto-adjudication rate

Industry leading automated dental claim processing

Group Benefits

Stable Group Benefits loss ratio1

2

I’m a single mom and devastated I have been sick and can't work. I have been in a constant state of panic and worried that I’d have no income to provide for my daughter. You’re an angel.

….a disability claimant, April 2017

Deanna StrableChief Financial Officer

Capital managementProven results from disciplined capital management

41

Balanced approach to capital deploymentDisciplined capital deployment

• Capital is deployed to:- Grow the company- Return to shareholders

• Every capital deployment opportunity is evaluated against a minimum return of our cost of capital

Common stock

dividends40%

M&A and share repurchases

25-30%

Organic growth30-35%

Targeted long-term capital deployment strategyCapital deployed as a percent of net income

Targeted long-term capital deployment strategyCapital deployed as a percent of net income

Common stock

dividends40%

M&A and share repurchases

25-30%

Organic growth30-35%

42

Historical capital deploymentDisciplined capital deployment

1On a cumulative basis, 2012 – 3Q 2017; Historical capital deployment is greater than net income due to paid-in capital

Historical capital deploymentCapital deployed as a percent of net income1

Common stock

dividends33%

Share repurchases

20%M&A19%

Organicgrowth

40%

43

Common stock dividends

30%33% 34%

36% 35% 38%

27%

$0.4

$0.6

$0.8

$1.0

$1.2

$1.4

$1.6

2012 2013 2014 2015 2016 3Q17

Net

inco

me

(bill

ions

)

Dividends as % of net income

Disciplined capital deployment

YTD

• Dividend yield of 3%

• Dividend payout rationearing 40% of net income2

• Since 2012, dividends per share increased 132%3

1On a cumulative basis, 2012 – 3Q 2017; Historical capital deployment is greater than net income due to paid-in capital2Excludes a one-time gain on a real estate sale in 3Q 20173On a trailing twelve month basis, 12/31/2012 - 9/30/2017

Common stock

dividends33%

Share repurchases

20%M&A19%

Organicgrowth

40%


Net income One time gain on real estate sale YTD net income

2

44

Share repurchaseDisciplined capital deployment

Capital deployed to share repurchase

Share price

YTD


Common stock

dividends33%

Share repurchases

20%M&A19%

Organicgrowth

40%


$258M

$137M

$205M

$275M$257M

$193M

$20

$30

$40

$50

$60

$70

$0

$50

$100

$150

$200

$250

$300

2012 2013 2014 2015 2016 3Q17

Price of shares repurchased Avg share price

• Anti-dilutive and opportunistic programs

• Execution dependent on valuation and other deployment opportunities

HSBC Afore

45

Mergers & acquisitions

MPF


Proven M&A strategy: Acquisitions have delivered approximately a 15% IRR on a local currency basis


Common stock

dividends33%

Share repurchases

20%M&A19%

Organicgrowth

40%


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Debt Common equity excluding AOCI Leverage ratio

46

Financial leverage

28% 27%24% 25%

23%21%

15%

20%

25%

30%

35%

$0

$2

$4

$6

$8

$10

$12

$14

$16

2012 2013 2014 2015 2016 3Q17

Capital structure(in billions)


TTM

• Leverage ratio target: 20-25%• Flexibility exists to increase

the leverage ratio for the right opportunity

• Proven track record of managing the leverage ratio back to the targeted range over time

47

Organic capital deploymentDisciplined capital deployment


Common stock

dividends33%

Share repurchases

20%M&A19%

Organicgrowth

40%


Organic capital drivers:

• Business mix• Sales growth• Capital returned from

existing business• Investment portfolio

strategy• Regulatory changes

PGI PI RIS-Spread

RIS-Fee SBD Life

Optimizing organic growthDisciplined capital deployment

481CAGR 2012-3Q 2017 on a trailing twelve month basis; excludes the impacts of the actuarial assumption reviews and 1Q 2012 Individual Life amortization change

Capital used

GroupBenefits


approximate new business return

Key considerations• Growth appetite• Pricing discipline• Product design• Risk management• Asset liability management

Lesscapital intensive

More capital

intensive

15%

6%

14%

pre-tax operating earnings CAGR for Spread and Risk combined1

pre-tax operating earnings CAGR for Pension Risk Transfer and Group Benefits combined1

Results since 2012:

49

Proven resultsDisciplined capital deployment

Balanced capital

strategy

Focused business strategy

Disciplined approach

Proven and market leadingresults

50

We’ve delivered on our promises

1Excludes the impacts of the actuarial assumption reviews 2Return on equity, excluding AOCI other than foreign currency translation adjustment3Includes share repurchases, common stock dividends, and M&A

Current long-term guidancePrior long-term guidance


Operating earnings(CAGR since 2012)

14%12%

0%

2%

4%

6%

8%

10%

12%

14%

16%

As reported Excluding AAR

100bps 85

bps

0

20

40

60

80

100

120

As reported Excluding AAR

Return on equity2

(average annual growth since 2012, in bps)

1 1

72%

30%

40%

50%

60%

70%

80%

Aggregate external capital deployments3

(as a % of net income)

2012 – 3Q 2017 YTD

• Principal’s total shareholder return has outperformed peers

• Compared to peers, Principal’s growth in earnings and dividends are driving higher total shareholder return

• Principal’s earnings have grown 12% per year compared to 3% for insurance company peers and 5% for asset management peers

51

Proven diversification benefitTotal shareholder return vs. peers1

6%34%

16%

96%21%

31%

23%

63%

-10%

24%15%

14%

149%133%

51%

-25%

0%

25%

50%

75%

100%

125%

150%

175%

PFG Insurance Peers Asset ManagementPeers

Change in Share Count Change in Earnings Change in P/EDividends Total Shareholder Return


1 For the period 12/31/2012 – 9/30/2017; Source: SNL financial. Insurance Peers: PRU, MET, VOYA, UNM, LNC; Asset Management Peers: AMP, TROW, BEN, AMG, WDR, IVZ

52

Proven results

Balanced capital

strategy

Focused business strategy

Disciplined approach

Proven and market leadingresults


12% operating earnings CAGR

85 bps average ROE expansion per year

2012 - 3Q 2017 on a trailing twelve month basis; excludes the impacts of the 2012 and 2017 actuarial assumption reviews

Panel Q&A

Thank you

Appendix

57

Non-GAAP financial measure reconciliations

Trailing 12 months 12/31/2012 09/30/2017

RIS-Spread

Pension Risk Transfer Pre-tax operating earnings $47.5 $93.9

Fixed Annuities Pre-tax operating earnings 99.6 132.5

Investment Only Pre-tax operating earnings 74.0 117.3

Bank Services Pre-tax operating earnings 43.1 41.7

Pre-tax operating earnings 264.2 385.4

Actuarial assumption review 17.0 (19.2)

Pre-tax operating earnings excluding actuarial assumption review $281.2 $366.2

Operating revenues $2,820.2 $5,699.1

Benefits, claims and settlement expenses 2,354.8 5,146.0

Net revenue 465.4 553.1

Actuarial assumption review 2.5 (3.1)

Net revenue excluding actuarial assumption review $467.9 $550.0

Pre-tax return on net revenue* 56.8% 69.7%

Pre-tax return on net revenue excluding actuarial assumption review 60.1% 66.6%

* Pre-tax operating earnings divided by net revenue

(in millions, except as indicated)

58

Trailing 12 months 12/31/2012 09/30/2017


Pre-tax operating earnings $199.5 $380.7

Actuarial assumption review 99.7 32.8

Individual Life amortization basis change (5.1) -

Pre-tax operating earnings excluding actuarial assumption review and amortization basis change $294.1 $413.5

Premiums and other considerations $1,769.3 $2,290.2

Fees and other revenues 531.1 752.2

Premium and fees 2,300.4 3,042.4

Actuarial assumption review (13.5) (14.2)

Individual Life amortization basis change 46.6 -

Premium and fees excluding actuarial assumption review and amortization basis change $2,333.5 $3,028.2

Pre-tax return on premium and fees* 8.7% 12.5%

Pre-tax return on premium and fees excluding actuarial assumption review and amortization basis change 12.6% 13.7%

* Pre-tax operating earnings divided by premium and fees

Non-GAAP financial measure reconciliations(in millions, except as indicated)

59

Trailing 12 months 12/31/2012 12/31/2013 12/31/2014 12/31/2015 12/31/2016 09/30/2017

SBD

Group Benefits Pre-tax operating earnings $92.2 $109.5 $117.4 $140.3 $175.4 $183.9

Individual Disability Pre-tax operating earnings 43.7 52.3 61.8 80.1 75.5 80.9

Pre-tax operating earnings $135.9 $161.8 $179.2 $220.4 $250.9 $264.8

Group Benefits Premium and fees $1,199.4 $1,231.7 $1,317.6 $1,410.8 $1,538.8 $1,637.0

Individual Disability Premium and fees 244.2 261.0 273.8 321.8 323.5 342.6

Premium and fees $1,443.6 $1,492.7 $1,591.4 $1,732.6 $1,862.3 $1,979.6


60

Trailing 12 months 12/31/2012 12/31/2013 12/31/2014 12/31/2015 12/31/2016 09/30/2017

Group Benefits

Pre-tax operating earnings $92.2 $109.5 $117.4 $140.3 $175.4 $183.9

Actuarial assumption review 2.2 1.6 (5.3) (12.2) (4.5) (14.0)

Pre-tax operating earnings excluding actuarial assumption review $94.4 $111.1 $112.1 $128.1 $170.9 $169.9

Premium and fees $1,199.4 $1,231.7 $1,317.6 $1,410.8 $1,538.8 $1,637.0

Actuarial assumption review - - - 5.8 - -

Premium and fees excluding actuarial assumption review $1,199.4 $1,231.7 $1,317.6 $1,416.6 $1,538.8 $1,637.0

Pre-tax return on premium and fees* 7.7% 8.9% 8.9% 9.9% 11.4% 11.2%

Pre-tax return on premium and fees excluding actuarial assumption review 7.9% 9.0% 8.5% 9.0% 11.1% 10.4%

* Pre-tax operating earnings divided by premium and fees


61

Trailing 12 months 12/31/2012 12/31/2013 12/31/2014 12/31/2015 12/31/2016 09/30/2017

PFG

Stockholders' equity $9,703.4 $9,777.0 $10,232.0 $9,377.4 $10,293.8 $12,067.3

Net unrealized capital (gains) losses (1,235.7) (700.6) (1,148.3) (715.9) (827.0) (1,387.8)

Net unrecognized postretirement benefit obligation 488.5 155.9 411.1 450.2 408.4 395.6

Noncontrolling interest (20.0) (92.8) (48.0) (65.8) (66.5) (70.9)

Stockholders' equity x-AOCI other than foreign currency translation adjustment 8,936.2 9,139.5 9,446.8 9,045.9 9,808.7 11,004.2

Foreign currency translation adjustment 106.9 361.5 686.8 1,148.2 1,093.8 945.2

Stockholders' equity x-AOCI $9,043.1 $9,501.0 $10,133.6 $10,194.1 $10,902.5 $11,949.4

Preferred stock (0.1) (0.1) (0.1) - - -

Preferred stock paid-in capital (541.9) (541.9) (541.9) - - -

Stockholders' equity x-AOCI available to common stockholders $8,501.1 $8,959.0 $9,591.6 $10,194.1 $10,902.5 $11,949.4


Principal Investor Workshop 2017

Investor Relations

Transcript of Principal Investor Workshop 2017