Is Funeral Guaranteed Preneed Dead?
As stated before, YourFuneral Guy believes that the Guaranteed Funeral Preneed is dead. It appears that numbers from the World’s Largest Funeral Corporation point to the death of the funeral product that has been around since the 1970′s.
Preneed sales at Service Corporation International(NYSE:SCI) have been declining in the last 2 quarters.
The last quarter results point to corporate disaster for Service Corporation International.
As far as corporate reports go the numbers are buried in the details.
Overall Losses in 10′s of millions the first quarter 2009.
For the 1st quarter of 2009 losses were in the 10′s of millions.
- Funeral Revenue was down 41.6 million compared to the 1st Quarter 2008
- Cemetery Revenue was down 23.4 million compared to the 1st Quarter 2008
“Preneed fund ” unrealized losses for first quarter 2009 in 100′s of millions:
“As of March 31, 2009, we have net unrealized losses of $500.8 million in our preneed funeral and cemetery merchandise and service trusts, and net unrealized losses of $189.3 million in our cemetery perpetual care trusts.”-SCI report”
These numbers compare 2009 and 2008 1st Quarter Trust figures.
Preneed trust Losses in 10′s of millions for the 1st quarter 2009.
“In the first quarter of 2009, we realized aggregate net losses of $40.8 million in our preneed funeral and cemetery merchandise and service trusts. In addition, we realized aggregate net losses of $10.7 million in our cemetery perpetual care trusts.”
This all points toward a death that has occurred for guarranteed preneed.
Avoid the wicked flea of guaranteed funeral preneed. It will bite you. So if the funeral salesman says “guaranteed” flee.
This is just another strong indication of the coming funeral earthquake in the funeral business.
How can anyone guarantee investments 2, 5, or 10 years out.?
Funeral Industry|Funeral Blog by Your Funeral Guy-R.Brian Burkhardt
The three main causes of the death of preneed are 1-Wall Street Crash 2-the National Prearranged Services Scandal and the Illinois Funeral Directors Association IFDA Preneed Trust Scandal. “See Who Shot Preneed”