Based on preliminary results received to date, the Company estimates that its investment income from alternative investments for the three months ended September 30, 2026 will be approximately $47 million to $57 million (pre-tax). The midpoint of this range represents an annualized return of approximately 5%. As a result, investment income from alternative investments is estimated to be pre-tax and post-tax respectively at $70 million and $55 million below management’s current long-term expected return of approximately 12%.


 

Investment income from alternative investments includes mark-to-market movement that is reflected in adjusted net earnings, from certain limited partnerships and other equity interests, including limited liability corporations classified as investments in unconsolidated affiliates and certain company owned life insurance ("COLI") classified as other long-term investments which are generally reported on a one-quarter lag. We expect to provide further updates on the upcoming third quarter earnings call on November 6, 2026.