Bloomberg News

Hartford Mulls Winding Down Some Units as Paulson Presses

February 24, 2012

Hartford Financial Services Group Inc. (HIG), the insurer that counts John Paulson among its top investors, is weighing whether to wind down some operations as the billionaire pressures the firm to improve returns.

Options include “discontinuing or placing in run-off certain lines of business,” according to the annual report filed with the Securities and Exchange Commission today from Hartford, which is based in the Connecticut city of the same name. The company also may pursue “strategic acquisitions, divestitures or restructurings.”

Hartford reiterated today that the firm is evaluating its strategy and business portfolio after Paulson told Chief Executive Officer Liam McGee this month that he should spin off the property-casualty unit from life insurance. The insurer has said a split may not benefit investors.

Transactions could involve “the issuance of equity or equity-related securities that could have a dilutive effect on our shareholders,” the company said in the filing.

To contact the reporter on this story: Dan Kraut in New York at

To contact the editor responsible for this story: Dan Kraut at

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