COLUMBUS, Ga., May 18 /PRNewswire/ -- Aflac Incorporated announced today that it has priced $850 million of ten-year senior notes with a coupon of 8.5%. The company anticipates using the proceeds from this issuance for the repayment of an intra-company loan and other general corporate purposes.

Commenting on the pricing of the debt issue, Aflac Incorporated President and Chief Financial Officer Kriss Cloninger III said: "As we previously announced, we used internally generated cash flow to repay senior notes that matured in April. These funds were transferred through a loan from the company's principal life insurance subsidiary, American Family Life Assurance Company of Columbus, to Aflac Incorporated. We will primarily use the proceeds from the debt issuance we announced today to repay the intra-company loan."

About Aflac:

For more than 50 years, Aflac products have given policyholders the opportunity to direct cash where it is needed most when a life-interrupting medical event causes financial challenges. As the number one provider of guaranteed-renewable insurance in the United States and the number one insurance company in terms of individual insurance policies in force in Japan, Aflac insurance products provide protection to more than 40 million people worldwide. In 2009, Aflac was recognized by Ethisphere magazine as one of the World's Most Ethical Companies for the third consecutive year and was also named by the Reputation Institute as the Most Reputable Company in the Global Insurance Industry for the second consecutive year. In 2009 Fortune magazine recognized Aflac as one of the 100 Best Companies to Work For in America for the eleventh consecutive year. Fortune magazine also ranked Aflac No. 1 on its global list of the Most Admired Companies in the Life and Health Insurance category. Aflac appears on Hispanic Enterprise magazine's list of the 50 Best Companies for Supplier Diversity and on Black Enterprise magazine's list of the 40 Best Companies for Diversity. Aflac was also named by Forbes magazine as America's Best-Managed Company in the Insurance category. Aflac Incorporated is a Fortune 500 company listed on the New York Stock Exchange (NYSE) under the symbol AFL.

The Private Securities Litigation Reform Act of 1995 provides a "safe harbor" to encourage companies to provide prospective information, so long as those informational statements are identified as forward-looking and are accompanied by meaningful cautionary statements identifying important factors that could cause actual results to differ materially from those included in the forward-looking statements. We desire to take advantage of these provisions. This document contains cautionary statements identifying important factors that could cause actual results to differ materially from those projected herein, and in any other statements made by company officials in communications with the financial community and contained in documents filed with the Securities and Exchange Commission (SEC).

Forward-looking statements are not based on historical information and relate to future operations, strategies, financial results or other developments. Furthermore, forward-looking information is subject to numerous assumptions, risks and uncertainties. In particular, statements containing words such as "expect," "anticipate," "believe," "goal," "objective," "may," "should," "estimate," "intends," "projects," "will," "assumes," "potential," "target" or similar words as well as specific projections of future results, generally qualify as forward-looking. Aflac undertakes no obligation to update such forward-looking statements. We caution readers that the following factors, in addition to other factors mentioned from time to time, could cause actual results to differ materially from those contemplated by the forward-looking statements: difficult conditions in global capital markets and the economy generally; governmental actions for the purpose of stabilizing the financial markets; defaults and downgrades in certain securities in our investment portfolio; impairment of financial institutions; credit and other risks associated with Aflac's investment in perpetual securities; differing judgments applied to investment valuations; subjective determinations of amount of impairments taken on our investments; realization of unrealized losses; limited availability of acceptable yen-denominated investments; concentration of our investments in any particular sector; concentration of business in Japan; ongoing changes in our industry; exposure to significant financial and capital markets risk; fluctuations in foreign currency exchange rates; significant changes in investment yield rates; deviations in actual experience from pricing and reserving assumptions; subsidiaries' ability to pay dividends to the Parent Company; changes in regulation by governmental authorities; ability to attract and retain qualified sales associates and employees; ability to continue to develop and implement improvements in information technology systems; changes in U.S. and/or Japanese accounting standards; decreases in our financial strength or debt ratings; level and outcome of litigation; ability to effectively manage key executive succession; catastrophic events; and failure of internal controls or corporate governance policies and procedures.

Goldman, Sachs & Co. and J.P. Morgan Securities Inc. are acting as joint bookrunning managers for this offering, which is expected to close on May 21, 2009. Interested parties may obtain a written prospectus relating to the senior notes offering from Goldman, Sachs & Co., 85 Broad Street, New York, NY 10004, Attention: Prospectus Department, toll-free at 1-866-471-2526 or J.P. Morgan Securities Inc., 270 Park Avenue, New York, New York 10017, Attn: High Grade Syndicate Desk, 8th Floor, collect at 1-212-834-4533.

Analyst and investor contact - Kenneth S. Janke Jr.
800.235.2667 - option 3
FAX: 706.324.6330
or
kjanke@aflac.com Media contact - Laura Kane
706.596.3493
FAX: 706.320.2288
or
lkane@aflac.com

Web Site:
http://www.aflac.com