Diversified holding company Loews Corp. said Monday that its fourth-quarter net income fell 42 percent, mostly due to lower investment income and an increase in insurance reserves.
The company owns Loews Hotels, CNA Financial Corp., Diamond Offshore Drilling Inc. Highmount Exploration & Production and Boardwalk Pipeline Partners LP. It is controlled by the Tisch family.
Loews earned $268 million, or 67 cents per share, compared with $466 million, or $1.12 per share, a year earlier.
Analysts polled by FactSet Research expected a profit of 90 cents per share.
Revenue slipped 6 percent to $3.48 billion.
Loews blamed its earnings decline on a $57 million decrease in investment income at CNA and a $104 million increase in insurance reserves. The fourth-quarter was also affected by lower earnings from the Diamond Offshore business.
For all of 2011, net income fell to $1.06 billion, or $2.63 per share, compared with $1.29 billion, or $3.07 per share, in 2010.
Revenue fell to $14.13 billion from $14.62 billion the year before.
Loews shares fell 29 cents to $38.32 in midday trading.
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