- --------------------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): December 20, 1996
I.C.H. Corporation
(Exact name of registrant as specified in its charter)
Delaware 1-7697 43-6069928
(State or other jurisdiction (Commission (IRS Employer
of incorporation) File Number) Identification No.)
500 North Akard Street
Dallas, Texas 75201 75201
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (214) 954-7111
Not Applicable
(Former name or former address, if changed since last report)
- --------------------------------------------------------------------------------
<PAGE>
Item 5. Other Events.
ICH Corporation, a Delaware corporation (the "Corporation") filed a
voluntary petition with the United States Bankruptcy Court for the Northern
District of Texas, Dallas Division (the "Bankruptcy Court") under Chapter 11 of
the United States Bankruptcy Code (the "Code"), Case No. 395-36351-RCM-11, on
October 10, 1995. The Corporation is required to file Monthly Operating Reports
with the Bankruptcy Court and the United States Trustee pursuant to Bankruptcy
Rule 2015 and the United States Trustee's Operating Guidelines and Reporting
Requirements for Chapter 11 Cases. In connection therewith, attached hereto as
exhibit 99 is the Monthly Operating Report for the Month Ending November 1996,
filed with the Bankruptcy Court on December 20, 1996.
Item 7. Financial Statements and Exhibits.
(c) Exhibits
99 Financial Report for November 1996.
1
<PAGE>
SIGNATURE
Pursuant to the requirements of the Securities and Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
I.C.H. CORPORATION
Date: January 6, 1997 By:/s/Susan A. Brown
--------------------------------------
Susan A. Brown, Chairman of the Board,
Director, Co-Chief Executive Officer,
Chief Financial Officer and Treasurer
2
<PAGE>
Index to Exhibits
Sequentially
Numbered
Exhibit Number Description Pages
- -------------- ----------- -----
99 Monthly Operating Report for the Month Ending 41
November 1996, filed with the United States
Bankruptcy Court for the Northern District of Texas,
Dallas Division, Case No. 395-36351-RCM-11.
3
<PAGE>
CASE NAME: I.C.H. CORPORATION ACCRUAL BASIS
CASE NUMBER: 395-36351-5CM-11 02/13/95
JUDGE: HON. ROBERT MCGUIRE
UNITED STATES BANKRUPTCY COURT
NORTHERN DISTRICT OF TEXAS
DALLAS DIVISION
MONTHLY OPERATING REPORT
MONTH ENDING: NOVEMBER, 1996
IN ACCORDANCE WITH TITLE 28, SECTION 1746, OF THE UNITED STATES CODE, I DECLARE
UNDER PENALTY OF PERJURY THAT I HAVE EXAMINED THE FOLLOWING MONTHLY OPERATING
REPORT (ACCRUAL BASIS-1 THROUGH ACCRUAL BASIS-6) AND THE ACCOMPANYING
ATTACHMENTS AND, TO THE BEST OF MY KNOWLEDGE, THESE DOCUMENTS ARE TRUE, CORRECT
AND COMPLETE. DECLARATION OF THE PREPARER (OTHER THAN RESPONSIBLE PARTY): IS
BASED ON ALL INFORMATION OF WHICH PREPARER HAS ANY KNOWLEDGE.
RESPONSIBLE PARTY:
DIRECTOR, CHAIRMAN OF THE BOARD,
CO-CHIEF EXECUTIVE OFFICER,
/s/SUSAN A. BROWN CHIEF FINANCIAL OFFICER AND TREASURER
- --------------------------------------- ------------------------------------
ORIGINAL SIGNATURE OF RESPONSIBLE PARTY TITLE
SUSAN A. BROWN 12/20/96
- --------------------------------------- ------------------------------------
PRINTED NAME OF RESPONSIBLE PARTY DATE
PREPARER:
VICE PRESIDENT - FINANCIAL REPORTING
/s/DAVID A. COMMONS SOUTHWESTERN FINANCIAL SERVICES CORP.
- --------------------------------------- ------------------------------------
ORIGINAL SIGNATURE OF PREPARER TITLE
DAVID A. COMMONS 12/20/96
- --------------------------------------- ------------------------------------
PRINTED NAME OF PREPARER DATE
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996 ACCRUAL BASIS-1
<TABLE>
<CAPTION>
COMPARATIVE BALANCE SHEET
Schedule November October 31
Reference Balances Balances
<S> <C> <C> <C>
ASSETS
1. Unrestricted cash 1.A $330,225 $77,254
Short-term investments 1.B 90,777,007 87,977,761
2. Restricted cash & short-term investments 1.C 105,148,512 104,707,502
------------ ------------
3. Total cash 196,255,744 192,762,517
4. Accounts receivable 4.A 696,004 115,451
Federal income tax refund 4.B 0 786,100
Income tax recoverable from purchaser 4.C 7,848,517 7,848,517
6. Notes receivable 6.A 27,000,000 27,000,000
10.Investment real estate 10.A 2,585,000 2,585,000
15.Investment in subsidiaries 15.A 98,832,725 109,699,262
Investment common stocks & bonds 15.B 40,441,063 40,454,542
Distribution & liquidation interest in CFSB Corp 15.C 18,000,000 18,000,000
Tax indemnification 15.D 24,600,000 24,600,000
Other assets 15.E 2,626,738 2,389,985
------------ ------------
Total assets $418,885,791 $426,241,374
============ ============
POSTPETITION LIABILITIES
17.Accounts payable and accrued expenses 27.C 430,372 389,747
Accrued interest 27.B 31,450 29,188
18.Taxes payable 25.A 92 102
------------ ------------
Total postpetition liabilities 461,914 419,037
------------ ------------
PREPETITION LIABILITIES
24.Secured notes payable 24.A 30,323,863 30,323,863
25.Accrued taxes 25.A 4,798,368 16,684,468
26.Unsecured notes payable 26.A 372,162,000 372,162,000
27.Accrued interest 27.B 15,673,899 15,673,899
Other liabilities 27.C 18,105,758 18,105,758
------------ ------------
Total prepetition liabilities 441,063,888 452,949,988
------------ ------------
EQUITY
30.Prepetition owners' equity (deficit) (108,884,661) (108,884,661)
31.Postpetition cumulative profit 76,615,138 74,642,495
32.Change in unrealized gains 9,629,512 7,114,515
------------ ------------
Total equity (22,640,011) (27,127,651)
------------ ------------
TOTAL PREPETITION LIABILITIES, POSTPETITION
LIABILITIES AND EQUITY $418,885,791 $426,241,374
============ ============
</TABLE>
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996
CASH IN BANKS- UNRESTRICTED
<TABLE>
<CAPTION>
November 30 October 31
Account Name Account No.
<S> <C> <C> <C>
Bank of Louisville 2449-393-8 $4,139.82 $4,139.82
Operating Account
Bank of Louisville 2449-390-3 64,951.96 64,951.96
General Account
Bank One 90484306 156,539.19 3,896.77
Custody Account
Bank One 100171305 70,567.27 (10,845.98)
Operating Account
First Farmers 70-007-419 1,018.23 5,083.46
Dining Room Account
First Farmers 70-007-427 32,308.00 9,328.00
Pro Shop Account
Petty Cash @ Perry Park 700.00 700.00
----------- ----------
Total unrestricted cash in banks $330,224.47 $77,254.03
=========== ==========
</TABLE>
SCHEDULE 1A
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996
<TABLE>
<CAPTION>
SHORT TERM INVESTMENTS
November 30 October 31
<S> <C> <C>
United States Treasury Bills
5.04% Due 11/14/96 $0.00 $26,950,513.60
United States Treasury Bills
5.18% Due 12/12/96 19,967,947.82 19,881,052.66
United States Treasury Bills
4.95% Due 01/23/97 19,854,209.91 0.00
United States Treasury Bills
5.09% Due 11/29/96 0.00 19,920,099.21
United States Treasury Bills
5.00% Due 01/23/97 24,815,536.68 0.00
Bank One Texas
Time Deposit 5.3125% Due 12/02/96 6,170,000.00 0.00
Bank One Texas
Time Deposit 5.625% Due 11/01/96 0.00 1,340,000.00
United States Treasury Bills
5.00% Due 12/12/96 19,969,312.32 19,886,095.29
-------------- --------------
Total short-term investments $90,777,006.73 $87,977,760.76
============== ==============
</TABLE>
SCHEDULE 1.B
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996
<TABLE>
<CAPTION>
RESTRICTED CASH AND SHORT TERM INVESTMENTS
Account Name Account No. November 30 October 31
<S> <C> <C> <C>
Latter & Blum Property 0005-65040 $5,435.01 $4,994.99
Management, Inc.
As Agent of Republic Tower
Rental Trust Account
ICH & CFC (1) 40 75k012013 0.00 0.00
Tax Ind Escrow 40 75k012005
Purchase Price Escrow
Texas Commerce Bank (2) 088-05177043 1,566.34 1,566.34
Upfront Buyer Expenses
Texas Commerce Bank (2) 088-05177035 2,171.71 2,171.71
Expense Collateral Account
Texas Commerce Bank (2) 088-05176995 5,777.78 5,777.78
Termination Collateral Account
ICH & Southwest Financial Corp. (3) 3855124256 0.00 0.00
Escrow Account
Bank of Louisville (4)
Repurchase Agreement 4.80% Due 11/4/96 0.00 81,994.73
Bank of Louisville (4)
Repurchase Agreement 4.75% Due 12/4/96 82,333.64 0.00
Fidelity Institutional Cash
Due 12/31/96 at Maturity 1,414.09 1,409.35
United States Treasury Bills (3)
5.005% Due 12/19/96 54,538,767.86 54,309,927.65
United States Treasury Bills (3)
4.992% Due 12/12/96 50,511,045.81 50,299,659.43
--------------- ---------------
Total restricted cash and short term investments $105,148,512.24 $104,707,501.98
=============== ===============
</TABLE>
(1) Escrows established related to sale of Integrity National Life Insurance
Company to Citizens Financial Corporation. $250,000 purchase price escrow
released in July. Remaining tax escrow balance released to Citizens
Financial Corp.
(2) Escrows established related to proposed sale to Shinnecock Holdings Inc.
(3) Escrows established related to sale to Southwestern Financial Corp.
(4) Escrow established related to tax obligations of Consolidated Fidelity.
SCHEDULE 1.C
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996
<TABLE>
<CAPTION>
ACCOUNTS RECEIVABLE
November 30 October 31
Perry Park:
<S> <C> <C>
Maintenance Fees Receivable $145,243.91 $143,890.33
Allowance for doubtful accounts (130,000.00) (130,000.00)
----------- -----------
15,243.91 13,890.33
Other - Due from SWFS 130,760.15 101,560.87
Shaw - Tax settlement 550,000.00 0.00
----------- -----------
Total $696,004.06 $115,451.20
=========== ===========
</TABLE>
SCHEDULE 4.A
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996
<TABLE>
<CAPTION>
FEDERAL INCOME TAX REFUND DUE
November 30 October 31
<S> <C> <C>
1993 Form 1120X Refund $0.00 $786,100.00
===== ===========
</TABLE>
NOTE:
Refund considered in settlement with IRS on all open years through 1995. (See
Schedule 25.A).
SCHEDULE 4.B
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996
FEDERAL INCOME TAX RECOVERABLE FROM PURCHASER ON SALE OF SUBSIDIARIES
<TABLE>
<CAPTION>
November 30 October 31
<S> <C> <C>
Due from Southwestern Financial Corporation for
income tax settlement from sale of Southwestern Life,
Union Bankers, Constitution and Marquette $7,848,517.00 $7,848,517.00
============= =============
</TABLE>
SCHEDULE 4.C
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996
NOTES RECEIVABLE
<TABLE>
<CAPTION>
November 30 October 31
<S> <C> <C>
Victor Sayyah
Citibank Prime + 0.5% Due 10/15/2001 $27,000,000.00 $27,000,000.00
Ballard Texas Properties (1)
8.0% Due 10/31/02 581,800.00 581,800.00
Allowance for loss - Ballard Texas Properties (581,800.00) (581,800.00)
-------------- --------------
Total notes receivable $27,000,000.00 $27,000,000.00
============== ==============
</TABLE>
NOTES
(1) Promissory note secured by Las Villas Apts. Houston, Texas
SCHEDULE 6.A
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996
INVESTMENT REAL ESTATE
<TABLE>
<CAPTION>
November 30 October 31
DESCRIPTION
<S> <C> <C>
Perry Park $4,634,116.10 $4,634,116.10
Allowance for loss on Perry Park (3,049,462.30) (3,049,462.30)
Republic Tower - Office Bldg 2,000,000.00 2,000,000.00
Baton Rouge, Louisiana - Land 1,125,000.00 1,125,000.00
Allowance for loss on land (640,000.00) (640,000.00)
Ponderosa Inn, Burley ID - Golf Course 844,599.55 844,599.55
Deltona Lakes, Florida - Land 1,213.00 1,213.00
Additional Allowance for Loss (Unallocated) (2,330,466.35) (2,330,466.35)
------------- -------------
Total investment real estate $2,585,000.00 $2,585,000.00
============= =============
</TABLE>
SCHEDULE 10.A
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996
INVESTMENT IN SUBSIDIARIES
<TABLE>
<CAPTION>
November 30 October 31
<S> <C> <C>
SWL Holding Corporation $0.00 $0.00
Care Financial Corporation 88,500,000.00 (a) 99,371,101.00
SLC Financial Services 257,294.30 257,294.30
Facilities Management Installation 9,434,645.00 9,430,081.00
BML Agency 640,786.05 640,786.05
-------------- ---------------
Investment in Affiliates $98,832,725.35 $109,699,262.35
============== ===============
</TABLE>
NOTES:
(a) Reflects estimated realizable value of remaining assets owned, net of
liabilities, subsequent the sales of certain subsidiaries. (See income
statement Schedule 16.A).
SCHEDULE 15.A
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996
INVESTMENT IN COMMON STOCKS AND BOND
<TABLE>
<CAPTION>
NUMBER
OF SHARES November 30 October 31
<S> <C> <C> <C>
Common Stocks (at market value):
Commonwealth Industries 200 $200.00 $1.00
Churchill Downs 10,000 360,000.00 370,000.00
XRC Corp. 5,595 559.50 559.50
National Energy Group, Inc. 730 2,600.26 3,102.50
Ky Central Life Insurance Co. 463 46.30 46.30
Ky Investors 300 3,975.00 3,975.00
Worthington Industries 3,667 72,881.63 76,090.25
IMO Industries 2 6.75 9.00
Transamerica Title 10 793.75 758.75
-------------- --------------
Total common stocks $441,063.19 $454,542.30
============== ==============
Change between periods represents change in unrealized ($13,479.11)
==============
Bonds - Unaffiliated:
Southwestern Financial Corp.
7.0% Due 12/15/2005 40,000,000.00 40,000,000.00
-------------- --------------
Total Common Stocks & Bonds $40,441,063.19 $40,454,542.30
============== ==============
</TABLE>
SCHEDULE 15.B
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996
DISTRIBUTION AND LIQUIDATION INTEREST IN CFSB CORPORATION
<TABLE>
<CAPTION>
November 30 October 31
<S> <C> <C>
Distribution and liquidation interest in
CFSB Corporation (Estimated) $18,000,000.00 $18,000,000.00
============== ==============
</TABLE>
NOTE:
Letter Agreement dated March 29, 1993, from Consolidated National Corporation,
(CNC) to ICH conveying to ICH, and agreeing that ICH has a 27.7% share in, and
is entitled to receive 27.7% o all economic benefits that CNC actually receives
pursuant to that certain Agreement dated Januar 25, 1993 between CNC, James M.
Fail and CFSB Corporation.
SCHEDULE 15.C
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996
TAX INDEMNIFICATION
<TABLE>
<CAPTION>
November 30 October 31
<S> <C> <C>
Tenneco Indemnification $24,600,000.00 $24,600,000.00
============== ==============
</TABLE>
NOTE:
ICH has announced a settlement with Tenneco, Inc. (Tenneco Settlement). Pursuant
to the Tenneco Settlement, upon the earlier of the granting by the Bankruptcy
Court of the Tenneco Settlement Motion by Final Order or the Effective Date of
the Joint Plan, ICH and Tenneco shall mutually release all claims against each
other and Tenneco shall pay to ICH the sum of $18.5 million and cancel the 9
1/2% unsecured note due 1996 of ICH.
SCHEDULE 15.D
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996
OTHER ASSETS
<TABLE>
<CAPTION>
November 30 October 31
<S> <C> <C>
Accrued Interest on Short Term Investments $3,935.32 $515.49
Accrued Interest on Bonds-Unaffiliated 1,291,111.11 1,057,777.78
Accrued Interest on Notes Receivable 1,339,449.17 1,335,570.50
Allowance for loss - Ballard Texas Properties (7,757.34) (3,878.67)
------------- -------------
Total other assets $2,626,738.26 $2,389,985.10
============= =============
</TABLE>
SCHEDULE 15.E
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996
SECURED NOTES PAYABLE
<TABLE>
<CAPTION>
November 30 October 31
<S> <C> <C>
Victor Sayyah $30,000,000.00 (1) $30,000,000.00
c/o Lord, Bissell & Brook
James R. Wimmer
115 South La Salle Street
Chicago, IL 60603
Ozark National Life Insurance Co. 323,863.22 (2) 323,863.22
500 East 9th
Kansas City MO 64106
-------------- --------------
$30,323,863.22 $30,323,863.22
============== ==============
</TABLE>
NOTES:
(1) Secured by note receivable of $27,000,000.
Unsecured in amount of $ 3,000,000.
See Schedule 6.A
(2) Dated 6-2-78 Mortgage
Unplatted property situated in Glenwood Hall & Country Club, also known as
Perry Park Resort, Owenton County Recorded in Book 75 page 576, dated
9-28-71
SCHEDULE 24.A
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996
ACCRUED TAXES
<TABLE>
<CAPTION>
November 30 October 31
<S> <C> <C>
Prepetition:
Commonwealth of Kentucky 1989-1992 State Incom $69,569.00 $69,569.00
Revenue Cabinet Tax Audit
Frankfort, KY 40619
Intercompany payable per tax sharing agreement & other 4,728,799.00 5,514,899.00
Reserve for Federal Income Tax Audit 0.00 (a) 11,100,000.00
------------- --------------
Total prepetition accrued taxes $4,798,368.00 $16,684,468.00
============= ==============
Postpetition:
Commonwealth of Kentucky 11/01/96 thru 11/30/9 $92.07 $102.15
Revenue Cabinet Sales & Use Tax
Frankfort, KY 40619
------------- --------------
Total postpetition accrued taxes $92.07 $102.15
============= ==============
</TABLE>
Notes:
(a) On September 13, the Bankruptcy Court approved a tax settlement which
eliminated ICH's tax liability for years ended on or before December 31,
1995 and resulted in a payment of $3.4 mi
SCHEDULE 25.A
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996
UNSECURED NOTES PAYABLE
<TABLE>
<CAPTION>
November 30 October 31
<S> <C> <C>
Tenneco Inc. $21,900,000.00 (a) $21,900,000.00
9.50% Note Due 12/31/96
Note due 1997, interest at prime
Castle settlement 3,000,000.00 3,000,000.00
Bank of Louisville
11 1/4% Subordinated Notes Due 1996 256,101,000.00 256,101,000.00
Bank of Louisville
11 1/4% Subordinated Notes Due 2003 91,161,000.00 91,161,000.00
--------------- ---------------
Total unsecured notes payable $372,162,000.00 $372,162,000.00
=============== ===============
</TABLE>
NOTE:
(a) ICH has announced a settlement with Tenneco, Inc. (Tenneco Settlement).
Pursuant to the Tenneco Settlement, upon the earlier of the granting by the
Bankruptcy Court of the Tenneco Settlement Motion by Final Order or the
Effective Date of the Joint Plan, ICH and Tenneco shall mutually release
all claims against each other and Tenneco shall pay to ICH the sum of $18.5
million and cancel the 9 1/2% unsecured note due 1996 of ICH.
SCHEDULE 26.A
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996
ACCRUED INTEREST
<TABLE>
<CAPTION>
November 30 October 31
<S> <C> <C>
Prepetition:
Accrued Interest on Secured Debt 1,584,770.86 1,584,770.86
Accrued Interest on Unsecured Debt 14,089,128.15 14,089,128.15
-------------- --------------
Total prepetition accrued interest $15,673,899.01 $15,673,899.01
============== ==============
NOTE:
Interest is accrued only through October 10, 1995, the date company filed for
bankruptcy.
Postpetition:
Accrued Interest on Secured Debt (Ozark) 31,450.24 29,187.63
-------------- --------------
Total postpetition accrued interest $31,450.24 $29,187.63
============== ==============
</TABLE>
SCHEDULE 27.B
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996
OTHER LIABILITIES
<TABLE>
<CAPTION>
November 30 October 31
PREPETITION:
<S> <C> <C>
Fractional Shares Payable @
Bank of Louisville $179,765.09 $179,765.09
P.O. Box 1101
Louisville, KY 40201-1101
Common Stock Dividend Payable @
Bank of Louisville 200,398.57 200,398.57
P.O. Box 1101
Louisville, KY 40201-1101
Preferred Dividend Payable @
Bank of Louisville 81,064.70 81,064.70
P.O. Box 1101
Louisville, KY 40201-1101
Facilities Management Installation
Inter-company account payable 6,304,530.11 6,304,530.11
Retired Employee Liability 5,565,000.00 5,565,000.00
Robert T. Shaw & C. Fred Rice (a)
Independent Contractor and Services Agreement
Dated February 11, 1994 5,775,000.00 5,775,000.00
-------------- --------------
Total of prepetition liabilities $18,105,758.47 $18,105,758.47
============== ==============
POSTPETITION:
Security deposit on real estate investment $100.00 $0.00
Real Estate Expense Accrual 2,687.00 3,034.17
Southwestern Financial Corporation 3,171.26 0.00
General Expense Accrual 424,413.39 386,712.71
-------------- --------------
Total of postpetition liabilities $430,371.65 $389,746.88
============== ==============
</TABLE>
Note:
(a) Independent Services Contracts between the debtor and Bob Shaw and the
debtor and Fred Rice were terminated as of the petition date. The amount
shown represents the total remaining amount due under the contracts. The
allowable amount of the claim has not been determined by the Bankruptcy
Court.
SCHEDULE 27.C
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996 ACCRUAL BASIS-2
INCOME STATEMENT
<TABLE>
<CAPTION>
Schedule Month only Period to date
Reference Balance From 12/31/95
<S> <C> <C> <C>
REVENUES:
Interest income $1,080,219 $11,044,710
Perry Park revenues 51,935 581,569
Realized capital gains(losses) 1.A 0 (654,486)
Other income 1.B 15,833 39,031
------------ ------------
Total revenues 1,147,987 11,010,824
------------ ------------
EXPENSES:
9. Directors fees 9 4,500 50,000
11.General and administrative 213,393 2,490,029
------------ ------------
217,893 2,540,029
------------ ------------
15.Income before non-operating income and expenses 930,094 8,470,795
------------ ------------
OTHER INCOME AND EXPENSES:
16.Equity in earnings (losses) of subsidiaries 16.A (13,395,012) (14,558,809)
18.Gain (loss) on sale of subsidiary 16.B 0 (37,333)
19.Miscellaneous income (expense):
Write-off prepetition liability related to
BOL terminated escrow agreement 0 442,803
Reserve for Ballard Tx Properties note &
interest receivable 0 (585,679)
Reserve for unallocated real estate 0 (1,815,000)
20.Interest expense 18 (1,960,631) (1,989,099)
------------ ------------
Net other income (expenses) (15,355,643) (18,543,117)
------------ ------------
REORGANIZATION EXPENSES:
23.Professional fees 23 551,189 4,149,791
24.U.S. Trustee fees 24 0 30,250
------------ ------------
551,189 4,180,041
------------ ------------
27.Tax expense (benefit) 27 (16,949,381) (23,004,372)
------------ ------------
Net income (loss) 1,972,643 8,752,009
Change in unrealized 2,514,997 9,645,986
Net equity (deficit) at beginning of period (27,127,651) (41,038,006)
------------ ------------
Net equity (deficit) at end of period ($22,640,011) ($22,640,011)
============ ============
</TABLE>
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996
REALIZED CAPITAL GAINS(LOSSES):
<TABLE>
<CAPTION>
Month only Period to date
Balance From 12/31/95
<S> <C> <C>
Write-down of real estate and equipment $0.00 ($653,731.00)
Sale of short term investments 0.00 (755.11)
----- ------------
$0.00 ($654,486.11)
===== ============
</TABLE>
SCHEDULE 1.A
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996
OTHER INCOME
<TABLE>
<CAPTION>
Month only Period to date
Balance From 12/31/95
<S> <C> <C>
Commission income $1,888.78 $19,592.94
Miscellaneous income 13,944.00 19,438.62
---------- ----------
$15,832.78 $39,031.56
========== ==========
</TABLE>
SCHEDULE 1.B
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996
DIRECTORS FEES
<TABLE>
<CAPTION>
Month only Period to date
Balance From 12/31/95
<S> <C> <C>
Stanley Stegner $2,250.00 $24,000.00
Keith Tucker 0.00 2,250.00
Vernon Zimmerman 2,250.00 23,750.00
--------- ----------
$4,500.00 $50,000.00
========= ==========
</TABLE>
SCHEDULE 9
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996
EQUITY IN EARNINGS (LOSSES) OF SUBSIDIARIES
<TABLE>
<CAPTION>
Month only Period to date
Balance From 12/31/95
<S> <C> <C>
Care Financial Corp ($13,399,576.00)(a)($14,096,180.00)
SLC Financial Services 0.00 30,294.30
Facilities Management Installation, Inc. 4,564.00 (b) (572,963.00)
BML Agency 0.00 80,039.64
--------------- ---------------
($13,395,012.00) ($14,558,809.06)
=============== ===============
</TABLE>
NOTE:
(a) Reflects earnings (losses) of Bankers Multiple Line Insurance Company
("BML"), a wholly-owned subsidiary of Care Financial Corporation, including
gains (losses) from sale of BML's subsidiaries described below and mark to
market of BML's assets.
BML sold Modern American Life Insurance Company and Western Pioneer Life
Insurance Company as of June 28, 1996. Net proceeds to BML of the sale of
Modern American and Western Pioneer were approximately $27 million,
including certain real estate and mineral interests valued at $11 million
distributed to BML by Modern American and Western Pioneer in connection
with the sale. The seller also received an assignment of any federal income
tax refunds payable to Modern American for periods prior to January 1,
1996. The federal income tax refund received in November was transferred to
ICH.
In addition, BML sold Philadelphia American Life Insurance Company. BML
utilized approximately $6 million of the proceeds from the sale to purchase
certain securities, real estate, limited partnership interests and
reinsurance receivables from Philadelphia American at the closing, as
required under the purchase agreement. ICH estimates the net proceeds from
the sale of Philadelphia American, the liquidation of the securities, real
estate, limited partnership interests, and the settlement of reinsurance
receivables assigned to BML by Philadelphia American will total
approximately $11 million.
(b) Equity in earnings is calculated on a monthly basis only for FMI.
SCHEDULE 16.A
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996
GAINS (LOSSES) ON SALES OF SUBSIDIARIES
<TABLE>
<CAPTION>
Month only Period to date
Balance From 12/31/95
<S> <C> <C>
Adjusted Capital & Surplus settlement related to sale of
Integrity National Life $0.00 ($37,332.53)
----- ----------
$0.00 (37,332.53)
===== ==========
</TABLE>
SCHEDULE 16.B
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996
INTEREST EXPENSE
<TABLE>
<CAPTION>
Month only Period to date
Balance From 12/31/95
<S> <C> <C>
Ozark National Life $2,262.61 $30,731.06
IRS Tax Settlement $1,958,368.00 $1,958,368.00
------------- -------------
$1,960,630.61 $1,989,099.06
============= =============
</TABLE>
SCHEDULE 18
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996
PROFESSIONAL FEES
<TABLE>
<CAPTION>
Month only Period to date
Balance From 12/31/95
Paid & Accrued Postpetition:
<S> <C> <C>
Paid during period:
Coopers & Lybrand $0.00 $271,335.19
Winstead, Sechrest & Minick 126,728.13 1,217,314.18
Donaldson, Lufkin & Jenrette 0.00 228,886.04
Rodney D. Moore 0.00 102,764.85
Houlihan Lokey Howard & Zukin 180,635.60 799,425.32
Gibson, Dunn & Crutcher 0.00 755,437.73
Pryor, Cashman 113,006.74 644,569.65
Southwest Securities 80,294.37 227,323.12
Lightfoot 12,823.14 44,876.05
Vinson & Elkins 0.00 146,237.60
----------- -------------
Total paid for period 513,487.98 4,438,169.73
Change in accrual 37,700.68 (288,379.07)
----------- -------------
Total reorganization professional fees $551,188.66 $4,149,790.66
=========== =============
</TABLE>
SCHEDULE 23
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996
U.S. TRUSTEE FEES
<TABLE>
<CAPTION>
Month only Period to date
Balance From 12/31/95
<S> <C> <C>
ICH Corporation $0.00 $18,750.00
CARE Financial Corp 0.00 5,750.00
SWL Holding Corp 0.00 5,750.00
----- ----------
Total $0.00 $30,250.00
===== ==========
</TABLE>
SCHEDULE 24
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996
TAXES
<TABLE>
<CAPTION>
Month only Period to date
Balance From 12/31/95
<S> <C> <C>
Franchise taxes $30,000.00 $259,241.46
State (KY) income tax 0.00 (a) (2,335,798.13)
Sales taxes 1,278.88 14,531.20
Other taxes 30,051.62 73,202.49
Current F.I.T. Provision (Benefit) (17,010,711.00)(b) (21,015,549.00)
--------------- ---------------
Total ($16,949,380.50) ($23,004,371.98)
=============== ===============
</TABLE>
NOTES:
(a) Reduced Kentucky income tax accrual $2,240,431.
(b) Reflects settlement with IRS and Shaw.
SCHEDULE 27
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11 ACCRUAL BASIS-3
Monthly Operating Report
November 30, 1996
CASH RECEIPTS AND DISBURSEMENTS
<TABLE>
<CAPTION>
<S> <C> <C>
Cash at beginning of month $192,762,517
Receipts from operations:
Interest received 843,466
Perry Park revenues 51,935
Other 15,833
---------
911,234
Non-operating receipts:
IRS tax settlement 3,402,343
---------
Total cash received 4,313,577 4,313,577
--------- -------------
Total cash available 197,076,094
Cash disbursed for operations:
General expenses 241,031
Taxes 61,331
Directors fees (see schedule at Accrual Basis-6) 4,500
---------
306,862
Non-operating disbursements:
0
Cash disbursed for reorganization costs:
Professional fees
See schedule at Accrual Basis-6. 513,488
U.S. Trustee Fees 0
---------
Total cash disbursed 820,350 820,350
--------- ------------
Cash at end of month $196,255,744
============
</TABLE>
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996
ACCRUAL BASIS-4
ACCOUNTS RECEIVABLE
Due to nature of its business as an insurance holding company, ICH's receivables
are not significant (See asset schedule 4.A) and no attempts are made to age
them.
POSTPETITION TAXES
All taxes were paid current with the filing and postpetition filings and
payments continue to be made in the normal course of business.
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
November 30, 1996
ACCRUAL BASIS-6
<TABLE>
<CAPTION>
PAYMENTS TO INSIDERS:
<S> <C>
Directors Fees:
Stanley Stegner $2,250.00
Vernon Zimmerman 2,250.00
-----------
$4,500.00
===========
Payments to affiliates:
NONE
PAYMENTS TO PROFESSIONALS:
Related to reorganization:
Winstead, Sechrest & Minick $126,728.13
Coopers & Lybrand 0.00
Houlihan, Lokey, Howard & Zukin 180,635.60
Gibson, Dunn & Crutcher 0.00
Pryor, Cashman 113,006.74
Southwest Securities 80,294.37
Lightfoot 12,823.14
Vincent & Elkins 0.00
-----------
Total reorganization professional fees $513,487.98
===========
</TABLE>
SECURED NOTES, LEASES AND ADEQUATE PROTECTION PAYMENTS:
All lease and insurance payments were current as of date of filing and have
continued to be paid in postpetition period in normal course of business.
<PAGE>
CASE NAME: I.C.H. CORPORATION ACCRUAL BASIS
CASE NUMBER: 395-36351-5CM-11 02/13/95
MONTH: NOVEMBER 1996
QUESTIONNAIRE YES NO
1. HAVE ANY ASSETS BEEN SOLD OR TRANSFERRED OUTSIDE
THE NORMAL COURSE OF BUSINESS THIS REPORTING PERIOD? X
2. HAVE ANY FUNDS BEEN DISBURSED FROM ANY ACCOUNT
OTHER THAN A DEBTOR IN POSSESSION ACCOUNT? X (1)
3. ARE ANY POSTPETITION RECEIVABLES (ACCOUNTS, NOTES OR
LOANS) DUE FROM RELATED PARTIES X
4. HAVE ANY PAYMENTS BEEN MADE ON PREPETITION LIABILITIES
THIS REPORTING PERIOD? X
5. HAVE ANY POSTPETITION LOANS BEEN RECEIVED BY THE
DEBTOR FROM ANY PARTY? X
6. ARE ANY POST PETITION PAYROLL TAXES PAST DUE? X
7. ARE ANY POSTPETITION STATE OR FEDERAL INCOME TAXES
PAST DUE? X
8. ARE ANY POSTPETITION REAL ESTATE TAXES PAST DUE? X
9. ARE ANY OTHER POSTPETITION TAXES PAST DUE? X
10. ARE ANY AMOUNT SOWED TO POSTPETITION CREDITORS
DELINQUENT? X
11. HAVE ANY PREPETITION TAXES BEEN PAID DURING THE
REPORTING PERIOD? X
12. ARE ANY WAGE PAYMENTS PAST DUE? X
IF THE ANSWER TO ANY OF THE ABOVE QUESTIONS IS "YES" PROVIDE A DETAILED
EXPLANATION OF EACH ITEM. ATTACH ADDITIONAL SHEETS IF NECESSARY.
(1) Pursuant to Approved Cash Management Motion.
INSURANCE YES NO
1. ARE WORKER'S COMPENSATION, GENERAL LIABILITY AND
OTHER NECESSARY INSURANCE COVERAGES IN EFFECT? X
2. ARE ALL PREMIUM PAYMENTS PAID CURRENT X
3. PLEASE ITEMIZE POLICIES BELOW.
IF THE ANSWER TO ANY OF THE ABOVE QUESTIONS IS "NO." OR IF ANY POLICIES
HAVE BEEN CANCELED OR NOT RENEWED DURING THIS REPORTING PERIOD. PROVIDE AN
EXPLANATION BELOW. ATTACH ADDITIONAL SHEETS IF NECESSARY.
Copies of first page of policies were previously provided; coverage remains
in effect; all payments are current.
INSTALLMENT PAYMENTS
TYPE OF PAYMENT AMOUNT &
POLICY CARRIER PERIOD COVERED FREQUENCY
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