Good morning, ladies and gentlemen, and welcome to Genworth Financial's Second Quarter 2024 Earnings Conference Call. My name is Cynthia, and I will be your coordinator today. At this time, all participants are in a listen-only mode. We will facilitate a question-and-answer session towards the end of this conference call. As a reminder, the conference is being recorded for replay purposes. Also, we ask that you refrain from using cell phones, speakerphones or headsets during the Q&A portion of today's call. I would now like to turn the presentation over to Brian Johnson, Senior Vice President of Financial Planning and Analysis. Please go ahead, sir.

Thank you and good morning. Welcome to Genworth's second quarter 2024 earnings call. The slide presentation that accompanies this call is available on the Investor Relations section of the Genworth website, investor.genworth.com. Our earnings release and financial supplement can also be found there and we encourage you to review these materials. Speaking today will be Tom McInerney, President and Chief Executive Officer; and Jerome Upton, Chief Financial Officer. Following our prepared remarks, we will open the call up for a question-and-answer period. In addition to our speakers, Jamala Arland, President and CEO of our U.S. Life Insurance businesses; and Kelly Saltzgaber, Chief Investment Officer will be available to take your questions. During the call this morning, we may make various forward-looking statements. Our actual results may differ materially from such statements. We advise you to read the cautionary notes regarding forward-looking statements in our earnings release and related presentation, as well as the risk factors of our most recent annual report on Form 10-K as filed with the SEC. This morning's discussion also includes non-GAAP financial measures that we believe may be meaningful to investors. In our investor materials, non-GAAP financial measures have been reconciled to GAAP where required in accordance with the SEC rules. Also, references to statutory results are estimates due to the timing of the filing of the statutory statements. And now, I'll turn the call over to our President and CEO, Tom McInerney.

Thank you, Brian. Good morning everyone, and thank you for joining our second quarter earnings call. Genworth continues to make strong progress against our strategic priorities to drive long-term growth and shareholder value. In the second quarter, Genworth reported net income of $76 million or $0.17 per share and adjusted operating income of $125 million or $0.28 per share. Results were led again by Enact, which had a very strong quarter with adjusted operating income of $165 million to Genworth. We are very pleased with Enact's continued strong operating performance, capital levels and shareholder distributions. As a result of its continued momentum, yesterday, Enact announced an increase to its expected shareholder return for the full year, which Jerome will cover in more detail later. Since Enact's IPO, Genworth has received approximately $738 million in capital from Enact, including $63 million in the second quarter. We're very satisfied with our approximately 81% ownership stake in Enact as it continues to generate significant earnings and cash flows that support our capital allocation priorities of share repurchases, opportunistic debt reduction and growth investments in CareScout. Our LTC segment reported an adjusted operating loss of $29 million in the second quarter, driven by a liability remeasurement loss. Meanwhile, life and annuities reported an adjusted operating loss of $1 million, driven by losses in life insurance. On the statutory accounting basis, the U.S. Life Insurance companies had a very strong quarter with pre-tax income estimated at $171 million, driven primarily by benefits from LTC rate force actions. Complete statutory results for U.S. Life Insurance companies will be available when we file our second quarter statutory statements later this month. Jerome will cover our performance by segment in more detail. As I shared at our annual meeting in May, we refined our strategic priorities to reflect…

Thank you, Tom, and good morning everyone. I'm very pleased with the ongoing value creation delivered by Enact and progress on our LTC in-force rate actions, as well as our capital optimization and continued improvement in financial flexibility in the quarter. I'll first discuss Genworth's results and drivers in more detail. Then, I'll provide an update on our investment portfolio and holding company liquidity before we open the call for Q&A. Per Slide 5, and as Tom mentioned, second quarter adjusted operating income was $125 million, driven primarily by Enact. Our long-term care insurance segment reported an adjusted operating loss of $29 million, primarily driven by a liability remeasurement loss from actual to expected experience, partially offset by favorable variable investment income and net insurance recoveries. The favorable seasonal impact from mortality, we observed in the first quarter, subsided as anticipated and we continue to expect LTC GAAP earnings pressure throughout the remainder of the year due to short-term deviations of actual results compared to long-term assumptions. We also expect a liability remeasurement loss from actual-to-expected experience for the full year. As we have said before, GAAP results continue to be volatile. We believe statutory results better represent the underlying economics of the LTC business, including the positive impacts resulting from our in-force rate actions and settlements. The strong results from Enact were also partially offset by adjusted operating losses of $1 million in life and annuities and $10 million in corporate and other. Life and annuities included an adjusted operating loss in life insurance at $23 million, improved versus the first quarter, driven by favorable mortality as well as adjusted operating income of $12 million from fixed annuities and $10 million from variable annuities. The $10 million loss in corporate and other was driven by interest expense on holding…

[Operator Instructions] It appears that there are no questions at this time. Ladies and gentlemen, I will now turn the call back over to Mr. McInerney for closing comments.

Thank you very much, Cynthia, and thanks for everybody on the call today. In closing, I'd like to emphasize four key takeaways for the second quarter. First, it was a solid quarter for earnings, led again by Enact. We had excellent MYRAP results, $138 million for the quarter and a total net present value benefit to Genworth of $29.2 billion, since we started the multi-year rate action plan in 2012. We had strong progress in CareScout, particularly building the CareScout Quality Network. Our full-year 2024 target was to have 65% of the U.S. population for 60-plus-year-olds covered by the end of the year. We're now at 70% and we expect to be at 85% by the end of the year. So with effective national coverage by the end of the year, we look to then provide high-quality care at significant reduced costs for Americans. And we have three target groups to focus on to bring the CQN network, first, Genworth policyholders, then other policyholders of other insurers and then ultimately consumers. So we expect good revenue growth going forward starting really in 2025 and beyond. And the revenue growth will come from - at least from the CareScout Quality Network as a percentage of the cost savings delivered by the CQN. And finally, we had significant free cash flow again generated by Enact. They announced that they're increasing their capital return for the year, gave a range and again a significant amount of that capital, free cash flow will ultimately return to shareholders with a balance used to reduce debt and invest in the CareScout businesses. Thank you for your interest and support for Genworth in attending the call. And with that, I'll turn the call back over to Cynthia.

Ladies and gentlemen, this concludes Genworth Financial second quarter conference call. Thank you for your participation. At this time, the call will end. : :