Power Corporation of Canada Reports Fourth Quarter and 2013 Financial Results and Dividends

Power Corporation of Canada Reports Fourth Quarter and 2013 Financial Results 
and Dividends 
Readers are referred to the sections entitled "Non-IFRS Financial Measures" 
and "Forward-Looking Statements" at the end of this release. 
MONTREAL, March 19, 2014 /CNW Telbec/ - Power Corporation of Canada (TSX: POW) 
today reported earnings results for the fourth quarter and the year ended 
December 31, 2013. 
FOURTH QUARTER RESULTS 
Operating earnings attributable to participating shareholders (a non-IFRS 
financial measure) for the quarter ended December 31, 2013 were $218 million 
or $0.47 per share, compared with $219 million or $0.48 per share in 2012. 
Excluding the impact of acquisition and restructuring costs associated with 
the Irish Life Group Limited (Irish Life) acquisition by Great-West Lifeco 
Inc. (Lifeco), a subsidiary of Power Financial, and mark-to-market losses on 
macro capital hedges, operating earnings attributable to participating 
shareholders were $259 million or $0.56 per share, compared with $219 million 
or $0.48 per share in 2012. 
Other items, not included in operating earnings, represented a contribution of 
$82 million. Other items included the Corporation's share of other items at 
Power Financial as well as charges related to Square Victoria Communications 
Group Inc., a subsidiary of the Corporation, for an amount of $43 million, 
which comprised a one-time cash payment related to new terms and conditions of 
the contract to print the La Presse newspaper. In 2012, other items 
represented a net charge of $140 million. Additional details on other items 
can be found in this news release and in the section entitled "Other Items" 
below. 
Net earnings attributable to participating shareholders were $300 million or 
$0.65 per share, compared with $79 million or $0.18 per share in 2012. 
2013 RESULTS 
For the year ended December 31, 2013, operating earnings attributable to 
participating shareholders were $959 million or $2.08 per share, compared with 
$947 million or $2.06 per share in 2012. 
Excluding the impact of acquisition and restructuring costs associated with 
the Irish Life acquisition and mark-to-market losses on macro capital hedges, 
operating earnings attributable to participating shareholders were $1,035 
million or $2.24 per share. 
Other items, not included in operating earnings, were a contribution of $18 
million. In addition to the items discussed above, other items in 2013 
included a restructuring provision and impairment charges recorded by Square 
Victoria Communications Group Inc. Other items represented a net charge of 
$131 million in 2012. 
Net earnings attributable to participating shareholders were $977 million or 
$2.12 per share, compared with $816 million or $1.78 per share in 2012. 
RESULTS OF POWER FINANCIAL CORPORATION 
FOURTH QUARTER RESULTS 
Power Financial reported operating earnings attributable to common 
shareholders for the quarter ended December 31, 2013 of $403 million or $0.57 
per share, compared with $405 million or $0.57 per share in 2012. 
Other items, not included in operating earnings, were a contribution of $190 
million, and were mainly comprised of a litigation provision recovery reported 
by Lifeco, and the share of Pargesa's gain recorded by Groupe Bruxelles 
Lambert on the partial disposal of its investment in Total SA. In 2012, other 
items were a net charge of $128 million. 
Net earnings attributable to common shareholders were $593 million or $0.84 
per share, compared with $277 million or $0.39 per share in 2012. 
2013 RESULTS 
Operating earnings attributable to common shareholders for the year ended 
December 31, 2013 were $1,708 million or $2.40 per share, compared with $1,678 
million or $2.37 per share in 2012. 
Other items, not included in operating earnings, were a contribution of $188 
million. Other items were a net charge of $60 million in 2012. 
Net earnings attributable to common shareholders were $1,896 million or $2.67 
per share, compared with $1,618 million or $2.29 per share in 2012. 
At December 31, 2013, Power Corporation held a 65.8% economic interest in 
Power Financial. Power Financial's contribution to Power Corporation's 
operating earnings was $265 million for the quarter ended December 31, 2013, 
compared with $268 million in 2012. For the year ended December 31, 2013, 
Power Financial's contribution to Power Corporation's operating earnings was 
$1,124 million, compared with $1,108 million in 2012. 
DIVIDENDS ON NON-PARTICIPATING PREFERRED SHARES 
On February 19, 2014, as previously disclosed, the Board of Directors declared 
quarterly dividends on the Corporation's preferred shares, as follows: 


     ____________________________________________________________________
    |SERIES - STOCK     |RECORD DATE   |  PAYMENT DATE|AMOUNT            |
    |SYMBOL             |              |              |                  |
    |___________________|______________|______________|__________________|
    |1986 Series -      |March 25, 2014|April 15, 2014|At a floating rate|
    |POW.PR.F           |              |              |equal to one      |
    |                   |              |              |quarter of 70% of |
    |                   |              |              |the average prime |
    |                   |              |              |rate of two major |
    |                   |              |              |Canadian chartered|
    |                   |              |              |banks[1]          |
    |___________________|______________|______________|__________________|
    |Series A - POW.PR.A|March 25, 2014|April 15, 2014|35¢               |
    |___________________|______________|______________|__________________|
    |Series B - POW.PR.B|March 25, 2014|April 15, 2014|33.4375¢          |
    |___________________|______________|______________|__________________|
    |Series C - POW.PR.C|March 25, 2014|April 15, 2014|36.25¢            |
    |___________________|______________|______________|__________________|
    |Series D - POW.PR.D|March 25, 2014|April 15, 2014|31.25¢            |
    |___________________|______________|______________|__________________|
    |Series G - POW.PR.G|March 25, 2014|April 15, 2014|35¢               |
    |___________________|______________|______________|__________________|
    [1] In accordance with the articles of the Corporation

DIVIDENDS ON PARTICIPATING SHARES

On February 19, 2014, as previously disclosed, the Board of Directors also 
declared a quarterly dividend of 29 cents per share on the Participating 
Preferred Shares and the Subordinate Voting Shares of the Corporation, payable 
March 31, 2014 to shareholders of record March 10, 2014.

For purposes of the Income Tax Act (Canada) and any similar provincial 
legislation, all of the above dividends on the Corporation's preferred shares 
(including the Participating Preferred Shares) and Subordinate Voting Shares 
are eligible dividends.
                                          EARNINGS SUMMARY
    (unaudited)       Twelve months ended            Three months ended
                      December   December                 
                           31,        31,   December 31,   December 31,
                          2013       2012           2013           2012
    Contribution to                                       
    operating
    earnings from:                                                     
      Power Financial    1,124      1,108            265            268
      Other                                               
      subsidiaries        (76)       (16)           (32)            (2)
                         1,048      1,092            233            266
    Results from                                          
    corporate
    activities                                                         
      Income from                                         
      investments           88         27             32            (1)
      Operating and                                       
      other expenses     (125)      (122)           (34)           (33)
    Dividends on                                          
    non-participating
    shares                (52)       (50)           (13)           (13)
    Operating                                             
    earnings
    attributable to  
    participating
    shareholders           959        947            218            219
    Other items (see                                      
    below)                                                             
      Power Financial      123       (39)            125           (84)
      Other                                               
      subsidiaries        (84)       (56)           (43)           (56)
      Corporate                                           
      activities of
      Power
      Corporation         (21)       (36)              -              -
                            18      (131)             82          (140)
    Net earnings                                          
    attributable to
    participating
    shareholders           977        816            300             79
    Earnings per                                          
    share
    (attributable to
    participating
    shareholders)                                                      
    - operating                                           
      earnings            2.08       2.06           0.47           0.48
    - non-operating                                       
      earnings            0.04     (0.28)           0.18         (0.30)
    - net earnings        2.12       1.78           0.65           0.18
     
                                              OTHER ITEMS
    (unaudited)       Twelve months ended          Three months ended  
                      December   December                 
                           31,        31,   December 31,   December 31,
                          2013       2012           2013         2012  
    Power Financial:                                                   
      Lifeco                99       (62)             99           (62)
      IGM                  (1)          4            (1)            7  
      Pargesa               25         19             27           (29)
                           123       (39)            125           (84)
    Other                                                 
    subsidiaries          (84)       (56)           (43)           (56)
    Impairment charge                                     
    on CITIC Pacific
    Limited               (21)       (36)              -              -
                            18      (131)             82          (140)

Non-IFRS Financial Measures
In analyzing the financial results of the Corporation and consistent with the 
presentation in previous years, net earnings attributable to participating 
shareholders are classified as follows:
• operating earnings attributable to participating shareholders; and
• other items or non-operating earnings, which include the after-tax impact 
of any item that management considers to be of a non-recurring nature or that 
could make the period-over-period comparison of results from operations less 
meaningful, and also include the Corporation's share of any such item 
presented in a comparable manner by its subsidiaries and its jointly 
controlled corporations and associates.
Management uses these financial measures in its presentation and analysis of 
the financial performance of Power Corporation, and believes that they provide 
additional meaningful information to readers in their analysis of the results 
of the Corporation. Operating earnings, as defined by the Corporation, helps 
the reader to compare the current period's results to those of previous 
periods as items of a non-recurring nature have been excluded from this 
non-IFRS measure.
The Corporation also uses the equity method to present and explain its 
results, financial position and cash flows. This method is useful as it 
isolates the corporate activities from those of operating subsidiaries and 
shows their respective contributions separately.
Operating earnings attributable to participating shareholders and operating 
earnings per share are non-IFRS financial measures that do not have a standard 
meaning and may not be comparable to similar measures used by other entities. 
Forward-Looking Statements
Certain statements in this News Release, other than statements of historical 
fact, are forward-looking statements based on certain assumptions and reflect 
the Corporation's current expectations, or with respect to disclosure 
regarding the Corporation's public subsidiaries, reflect such subsidiaries' 
disclosed current expectations. Forward-looking statements are provided for 
the purposes of assisting the reader in understanding the Corporation's 
financial performance, financial position and cash flows as at and for the 
periods ended on certain dates and to present information about management's 
current expectations and plans relating to the future and the reader is 
cautioned that such statements may not be appropriate for other purposes. 
These statements may include, without limitation, statements regarding the 
operations, business, financial condition, expected financial results, 
performance, prospects, opportunities, priorities, targets, goals, ongoing 
objectives, strategies and outlook of the Corporation and its subsidiaries, as 
well as the outlook for North American and international economies for the 
current fiscal year and subsequent periods. Forward-looking statements include 
statements that are predictive in nature, depend upon or refer to future 
events or conditions, or include words such as "expects", "anticipates", 
"plans", "believes", "estimates", "seeks", "intends", "targets", "projects", 
"forecasts" or negative versions thereof and other similar expressions, or 
future or conditional verbs such as "may", "will", "should", "would" and 
"could".
By its nature, this information is subject to inherent risks and uncertainties 
that may be general or specific and which give rise to the possibility that 
expectations, forecasts, predictions, projections or conclusions will not 
prove to be accurate, that assumptions may not be correct and that objectives, 
strategic goals and priorities will not be achieved. A variety of factors, 
many of which are beyond the Corporation's and its subsidiaries' control, 
affect the operations, performance and results of the Corporation and its 
subsidiaries and their businesses, and could cause actual results to differ 
materially from current expectations of estimated or anticipated events or 
results. These factors include, but are not limited to: the impact or 
unanticipated impact of general economic, political and market factors in 
North America and internationally, interest and foreign exchange rates, global 
equity and capital markets, management of market liquidity and funding risks, 
changes in accounting policies and methods used to report financial condition 
(including uncertainties associated with critical accounting assumptions and 
estimates), the effect of applying future accounting changes, business 
competition, operational and reputational risks, technological change, changes 
in government regulation and legislation, changes in tax laws, unexpected 
judicial or regulatory proceedings, catastrophic events, the Corporation's and 
its subsidiaries' ability to complete strategic transactions, integrate 
acquisitions and implement other growth strategies, and the Corporation's and 
its subsidiaries' success in anticipating and managing the foregoing factors.
The reader is cautioned to consider these and other factors, uncertainties and 
potential events carefully and not to put undue reliance on forward-looking 
statements. Information contained in forward-looking statements is based upon 
certain material assumptions that were applied in drawing a conclusion or 
making a forecast or projection, including management's perceptions of 
historical trends, current conditions and expected future developments, as 
well as other considerations that are believed to be appropriate in the 
circumstances, including that the list of factors in the previous paragraph, 
collectively, are not expected to have a material impact on the Corporation 
and its subsidiaries. While the Corporation considers these assumptions to be 
reasonable based on information currently available to management, they may 
prove to be incorrect.
Other than as specifically required by applicable Canadian law, the 
Corporation undertakes no obligation to update any forward-looking statement 
to reflect events or circumstances after the date on which such statement is 
made, or to reflect the occurrence of unanticipated events, whether as a 
result of new information, future events or results, or otherwise.
Additional information about the risks and uncertainties of the Corporation's 
business and material factors or assumptions on which information contained in 
forward-looking statements is based is provided in its disclosure materials, 
including its most recent Management's Discussion and Analysis and Annual 
Information Form, filed with the securities regulatory authorities in Canada 
and available at www.sedar.com.



SOURCE  Power Corporation of Canada 
Mr. Stéphane Lemay Vice-President, General Counsel and Secretary 514-286-7400 
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CO: Power Corporation of Canada
ST: Quebec
NI: FIN ERN FIN  
-0- Mar/19/2014 18:30 GMT
 
 
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