UNUM GROUP INCOME PROTECTION PAYMENT PROTECTION

After a brief resurgence last week it now seems likely that Unum shares will continue the recent plunge downward. It was only 4 years ago that Unum shares plunged to the unhealthy price of just $6 and we expect a similar collapse could well be on the cards.

Following on from the disasterous fourth quarter results this week which exposed a massive 42% loss in net income, Unum shares have been hit hard. We predicted a fall yesterday, but we didn't expect the fall out to be so quick. We expect further steep losses for some time to come.

Shares in beleagured American insurance giant UNUM are expected to be hit hard after it was revealed they made a massive 42% loss in net income.

Unum Group (UNM) said late Monday that fourth-quarter net income came in at $160.5 million, or 44 cents per common share, down a massive 42% from a year earlier when the disability insurer made $276.1 million, or 80 cents per common share.

Problems Seem to Get Worse for UNUM

Unum Group (UNM) said late Monday that fourth-quarter net income came in at $160.5 million, or 44 cents per common share, down a massive 42% from a year earlier when the disability insurer made $276.1 million, or 80 cents per common share.

The graph to the right tells the story. Just 2 days before presenting UNUM to the Citigroup's Financial Services Conference, pressure mounts on trouble President Thomas Watjen and Kevin McCarthy.

UNUM's fortunes appear to have declined alarmingly in the last 6 months with shares - we expect - to continue to plunge for some time to come.

It remains to be seen how long Mr Watjen and Mr McCarthy hang on to their jobs.

Disgraced medical insurance company UNUM has seen it's shares fall yet again and every sign is the pattern will continue for some time.

Thomas Watjen, UNUM's President is due to give a presentation at Citigroup's Financial Services Conference on Wednesday. It remains to be seen how much confidence shareholders and staff still have in Mr Watjen - considering UNUM's precarious situation.

We predict shares could fall as low as the $6 they hit just 4 years ago.

We predict UNUM will continue to fall sharply for some time to come as bad publicity hampers this insurance giant. In similar circumstances just 4 years ago shareholders saw their shares plunge to just $6.

UNUM shares have plunged further still as we predicted. We expect the shares to continue to fall for the forseeable future - possibly as low as the $6 just 4 years ago.

Unum, the disgraced medical insurance company who have recently been subject of a BBC investigation into fraudulent activities has seen it's shares continue to plunge. There is now grave concern that shares could hit rock bottom just like 4 years ago when they plunged to a lowly $6

As we predicted some weeks ago, Unum today sees it's share collapse even further. We anticipated the shares in Unum Group will plunge to below the $6 figure they hit just 4 years ago. Bad publicity on both sides of the Atlantic for the American insurance company appears to have had a substantial effect on customer confidence.