Globe Life Inc. (GL) Earnings Call Transcript & Summary

Ladies and gentlemen, thank you for standing by. And welcome to the Globe Life Inc. 2020 Annual Shareholders Meeting. [Operator Instructions] I would now like to hand the conference over to Mr. Gary Coleman. Thank you. Please go ahead, sir.

Good morning. It's 10:00 a.m., and time to start the meeting. My name is Gary Coleman.

My name is Larry Hutchison. We are the Co-Chairmen of the Board. We'd like to welcome you to Globe Life Inc.'s 39th Annual Shareholders Meeting. Thank you for joining us today. We're excited to be hosting our first virtual meeting via live audio webcast, though we intend to have an in-person meeting next year. We decided to host a virtual meeting this year due to the concerns about the health and well-being of our shareholders and other meeting participants resulting from the current health crisis. As is our custom, we will answer questions at the end of the meeting. Only validated shareholders will be able to ask questions or submit comments. Throughout the meeting, if any shareholder wishes to ask a question or submit a comment on issues reasonably related to management of the company's operations, you may do so via the designated field on the web portal. Out of consideration for others, please limit yourself to 1 question or comment. We may not be able to answer every question, but we will do our best to provide a response to as many as possible.

At this time, we would like to recognize the members of our Board of Directors. Joining us on the webcast this morning are Eddie Adair, Linda Addison, Marilyn Alexander, Cheryl Alston, Jane Buchan, Rob Ingram, Steve Johnson, Darren Rebelez and Mimi Thigpen. This meeting will be conducted in accordance with Globe Life Inc.'s shareholders' rights policy and Robert's Rules of Order. We will now call upon Secretary Christopher Moore to present proof that the meeting is duly commenced.

Chairman Coleman and Chairman Hutchison, this meeting is held pursuant to a printed notice that was mailed on March 19, 2020, to each shareholder of record of the company at the close of business on March 3, 2020. Additional soliciting materials related to the conversion of this annual meeting to a virtual meeting were filed with the Securities and Exchange Commission on April 8, 2020. A list of the shareholders entitled to vote at this meeting has been available at the principal executive office of the company as is required by Delaware law, and any shareholder who wishes to examine the list may do so during this meeting via an active link available on the web portal. All of the documents concerning the call and notice of this meeting will be filed in the official records of the company at the conclusion of the meeting. The count of shares immediately preceding commencement of this meeting indicated that approximately 87.53% of the outstanding common stock of the company is represented today.

Thank you, Chris. I declare that a quorum is present and the meeting is open for business. The minutes of last year's meeting are available. If anybody would like a copy, please contact Chris at the company's principal executive office address. As stated in the proxy statement, we have 3 proposals subject to shareholder vote. The first proposal is that the Board recommends the election of Eddie Adair, Linda Addison, Marilyn Alexander, Cheryl Alston, Jane Buchan, Larry Hutchison, Rob Ingram, Steve Johnson, Darren Rebelez, Mimi Thigpen and myself to serve on the Board for a term of 1 year. I will now call upon Chris to nominate the directors.

Chairman Coleman and Chairman Hutchison, I hereby nominate for election as directors of the company: Charles E. Adair, Linda L. Addison, Marilyn A. Alexander, Cheryl D. Alston, Jane M. Buchan, Gary L. Coleman, Larry M. Hutchison, Robert W. Ingram, Steven P. Johnson, Darren M. Rebelez and Mary E. Thigpen to serve for terms expiring on the date of the Annual Meeting of Shareholders of the company in 2021 with all to serve until their respective successors are duly elected and qualified.

Is there a second?

Second.

We have a second. Are there any other nominations? No? The nominations are declared closed.

Next is the proposal for ratification of independent auditor for the fiscal year 2020. Deloitte & Touche has served as the company's independent auditor for the fiscal years 1999 to 2019. The Audit Committee has appointed Deloitte & Touche as the company's independent auditor for the year 2020 and recommends the shareholders approve this appointment. Joining us today from the firm are Partners Ed Wilkins and Larissa Johnson. If you have any questions for the independent auditor, you may contact audit partner, Larissa Johnson at [email protected]. I will call upon Chris to make a formal motion.

Chairman Coleman and Chairman Hutchison, I move the ratification and approval of the appointment of Deloitte & Touche LLP as the independent auditor of the company and its subsidiaries for the year 2020.

Is there a second?

Second. The third proposal relates to an advisory and nonbinding vote on the 2019 compensation of the company's named executive officers as set out in the company's proxy statement for the 2020 Annual Meeting of Shareholders. I will now call upon Chris to make the formal motion.

Chairman Coleman and Chairman Hutchison, I move adoption of the following resolution: resolved that the company's shareholders hereby approve on an advisory basis the compensation of the named executive officers as disclosed in the company's proxy statement for the 2020 Annual Meeting of Shareholders, pursuant to the executive compensation disclosure rules of the Securities and Exchange Commission, which disclosure includes the compensation discussion and analysis, the compensation tables and related compensation disclosures.

Is there a second?

Second. Thank you. If there are any shareholders who have not yet voted and wish to vote at this time, they may do so by clicking on the voting link on the web portal and following the instructions there. Shareholders who have sent in proxies or voted via the telephone or Internet, do not need to take any further action. [Voting]

Now that everyone has had the opportunity to vote, I declare the voting closed and ask Nancy Peterson, the representative of our stock transfer agent, EQ, to give us a tally.

Chairman Coleman and Chairman Hutchison, the ballots have been counted and more than a majority of the voting stock of the company represented in person or by proxy at this meeting has been voted for the election of each of the director nominees and for the ratification of the appointment of Deloitte & Touche LLP as the independent auditor for the company for the year 2020. On a nonbinding advisory basis, a majority of shareholders voted to approve the 2019 compensation of the company's named executive officers in the proxy statement.

Thank you. You have heard the results of the balloting. Now there's time for the question and comment period, and I will recognize Chris Moore.

Chairman Coleman and Chairman Hutchison, this year, we received no questions from shareholders submitted in writing in accordance with the shareholders' rights policy. At this time, I would ask Mike Majors, the company's Executive Vice President, Administration and Investor Relations, and the moderator for purposes of this meeting to read aloud any questions or comments reasonably related to management of the company's operations that have been submitted via the web portal.

Chris, there are no questions at this time.

Thank you, Mike. If there is no other business this morning, I will entertain a motion for adjournment.

So moved.

Second?

Second.

Thank you. That concludes the meeting. Thank you for participating, and have a good day.

You may now disconnect.