Conseco slims down operations

Conseco Inc. will consolidate operations and sell properties as part of a plan to pare down expenses. The Carmel. Ind.-based insurance company said it plans to consolidate all Chicago operations of its Bankers Life and Casualty Co. unit. It will sell one of six office buildings it owns in Carmel, Ind. and relocate departments now there to now-vacant space in its remaining buildings. It also plans to sell office space formerly owned by a subsidiary in Des Moines, Iowa., which was formerly used by a unit of Conseco. The company said the moves will reduce its real estate and other costs by about $6 million on a yearly basis. Conseco also said it expects to record $20 million in pretax losses to cover relocation, termination of the lease and other costs. "These steps will improve our operating efficiency, free up capital," said Conseco chief executive James Prieur, in a statement. "We expect to record most of these costs in the remainder of 2007 and first quarter of 2008."