American Equity Reports Third Quarter EPS of $0.45

American Equity Investment Life Holding Company AEL reported 2010 third quarter operating income¹ of $27.6 million, or $0.45 per diluted common share, a 2% decrease compared to 2009 third quarter operating income of $28.2 million, or $0.47 per common diluted share. Highlights for the third quarter of 2010 and the first nine months of 2010 include:

• American Equity's annuity sales (before coinsurance) increased 12% to $3.1 billion for the first nine months of 2010 compared to $2.8 billion for the same period in 2009.
• Invested assets at September 30, 2010 increased 15% to $18.5 billion compared to $16.1 billion at September 30, 2009.
• Investment spread on annuity liabilities was 3.09% for the third quarter of 2010 compared to 3.13% for the same period in 2009.
• Book value per share including accumulated other comprehensive income of increased to $18.03 compared to $13.08 at December 31, 2009.