Question-and-Answer Session
Operator
(Operator instructions). Your first question is from Tom Kilmokie with Goldman Sachs.
Tom Kilmokie
Hi, good morning. Just a couple of quick questions, I guess number one you talked about capital little bit and I just wanted to kind of understand a little bit how that impacted your decision apparently not to buyback any stock during the first quarter when it averaged $58 and in ’07, you were relatively aggressive buying it back at closer to $66 bucks a share and even -- so I am just a little bit, I want to get some little bit more clarity on your buyback and then I could follow up with another question?
Barry Griswell
Well, good morning Tom. This is Barry, we will let Mike maybe chime in. but I think I would answer that it’s primarily amount of capital we had and we don’t normally try to buy shares back opportunistically based on share price, we typically have an authorization and we often use a 10b5 and go out into the market. So, it really was related more to our capital adequacy and the volatility in the markets to make sure that we are being prudent and more so than the stock price. Mike you want to add.
Mike Gersie
I think that is right, Barry. I think the other thing you have to remember is this organization generates a lot of free cash so as we look out over the remainder of the year I think as we said in the past roughly half of our operating earnings, organic growth the rest can be used for either dividends or share repurchase or acquisitions. So, I think we have got adequate capital resources but as Barry said I think we like other companies are keeping a little bit of dry powder given all the volatility in the markets.
Tom Kilmokie
Okay. So, we should expect in the balance of the year that you would pick up a little bit on the share buyback?
Barry Griswell
I think it will be premature or for me to indicate but that certainly a possibility.
Tom Kilmokie
Okay. And that if I can just follow up sorry I apologize if this is well known to people. But, just that you can just review the group life, why you end up having the loss in the fourth quarter and the coming issues that drive help that in the health business?
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