As in effect
3/1/61
FORM 10K/A1
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D. C. 20549
AMENDMENT TO APPLICATION OR REPORT
Filed Pursuant to Sections 12, 13, or 15 (d) of
THE SECURITIES EXCHANGE ACT OF 1934
OLD REPUBLIC INTERNATIONAL CORPORATION
- -------------------------------------------------------------------------------
(Exact name of registrant as specified in charter)
AMENDMENT NO. 1
---
The undersigned registrant hereby amends the following items, financial
statements, exhibits or other portions of its ANNUAL REPORT FOR 1998 on
Form 10K as set forth in the pages attached hereto: (List all such items,
financial statements, exhibits or other portions amended)
SEE INDEX
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this amendment to be signed on its behalf by the
undersigned, thereunto duly authorized.
OLD REPUBLIC INTERNATIONAL CORPORATION
--------------------------------------
(Registrant)
Date: April 15, 1999 By: /s/ Paul D. Adams
-------------- -----------------------------------
(Signature)
Paul Dennis Adams
Senior Vice President,
Chief Financial Officer
and Treasurer
Total Pages: 11
----
<PAGE>
INDEX
FINANCIAL STATEMENT SCHEDULES
- -------------------------------
Report of Independent Accountants
OLD REPUBLIC INTERNATIONAL CORPORATION AND SUBSIDIARIES
Schedule I - Summary of Investments - Other than Investments in Related
Parties as of December 31, 1998
Schedule II - Condensed Financial Information of Registrant for the years
ended December 31, 1998, 1997 and 1996
Schedule III - Supplementary Insurance Information for the years ended
December 31, 1998, 1997 and 1996
Schedule IV - Reinsurance for the years ended December 31, 1998, 1997 and 1996
Schedule VI - Supplemental Information Concerning Property - Casualty
Insurance Operations for the years ended December 31, 1998, 1997
and 1996
Schedules other than those listed are omitted for the reason that they are not
required, are not applicable or that equivalent information has been included in
the financial statements, and notes thereto, or elsewhere herein.
EXHIBITS *
- ----------
(28) Consolidated Schedule P.
* Not covered in the Report of Independent Acountants.
-2-
<PAGE>
REPORT OF INDEPENDENT ACCOUNTANTS
---------------------------------
To the Board of Directors and Shareholders of
Old Republic International Corporation
Chicago, Illinois
Our report on the consolidated financial statements of Old Republic
International Corporation and subsidiaries as of December 31, 1998 and 1997, and
for each of the three years in the period ended December 31, 1998 is included on
page 53 of the Corporation's Annual Report on Form 10-K. In connection with our
audits of such financial statements, we have also audited the related financial
statement schedules listed in the index on page 2 of this Form 10K/A1 amendment.
In our opinion, the financial statement schedules referred to above, when
considered in relation to the basic financial statements taken as a whole,
present fairly, in all material respects, the information required to be
included therein.
/s/ PricewaterhouseCoopers LLP
Chicago, Illinois
March 10, 1999
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<PAGE>
<TABLE>
OLD REPUBLIC INTERNATIONAL CORPORATION AND SUBSIDIARIES
SCHEDULE I - SUMMARY OF INVESTMENTS - OTHER THAN INVESTMENTS IN RELATED PARTIES
As of December 31, 1998
($ in Thousands)
- ---------------------------------------------------------------------------------------------------------------------------
Column A Column B Column C Column D
- ----------------- -------------- -------------- --------------
Amount at
Fair which shown in
Type of investment Cost (a) Value balance sheet
- ------------------ -------------- -------------- --------------
<S> <C> <C> <C>
Held to maturity:
Fixed maturity securities:
States, municipalities and political subdivisions $ 1,405,439 $ 1,458,967 $ 1,405,439
Public utilities 926,109 962,435 926,109
Redeemable preferred stocks 846 852 846
-------------- -------------- --------------
2,332,394 $ 2,422,254 2,332,394
-------------- ============== --------------
Other long-term investments:
Mortgage loans on real estate 7,821 7,821
Policy loans 2,001 2,001
Other long-term investments 15,345 15,345
-------------- --------------
25,168 25,168
-------------- --------------
Total 2,357,563 2,357,563
-------------- --------------
Available for sale:
Fixed maturity securities:
United States Government and government
agencies and authorities 566,518 $ 593,451 593,451
Foreign government 23,356 25,704 25,704
Corporate, industrial and all other 1,287,946 1,335,343 1,335,343
-------------- -------------- --------------
1,877,820 $ 1,954,498 1,954,498
-------------- ============== --------------
Equity Securities:
Non-redeemable preferred stocks 2,550 $ 2,715 2,715
Common stocks:
Banks, trusts and insurance companies 3,267 6,853 6,853
Industrial, miscellaneous and all other 111,193 155,273 155,273
-------------- -------------- --------------
117,010 $ 164,841 164,841
-------------- ============== --------------
Short-term investments 377,666 377,666
-------------- --------------
Total 2,372,496 2,497,006
-------------- --------------
Total Investments $ 4,730,059 $ 4,854,569
============== ==============
</TABLE>
Note:(a) Represents original cost of equity securities, and as to fixed
maturities, original cost reduced by repayments and adjusted for
amortization of premium or accrual of discount.
-4-
<PAGE>
<TABLE>
OLD REPUBLIC INTERNATIONAL CORPORATION AND SUBSIDIARIES
SCHEDULE II - CONDENSED FINANCIAL INFORMATION OF REGISTRANT
BALANCE SHEETS
OLD REPUBLIC INTERNATIONAL CORPORATION (PARENT COMPANY)
($ in Thousands)
- ---------------------------------------------------------------------------------------------------------------------------
December 31,
--------------------------------
1998 1997
-------------- --------------
<S> <C> <C>
Assets:
Bonds and notes $ 9,500 $ 9,500
Short-term investments 52,380 84,370
Investments in, and indebtedness of related parties:
Subsidiaries and affiliates, at equity 2,320,440 2,107,315
Indebtedness of affiliates 53,922 70,213
Preferred stock, at cost 5,500 13,000
Other assets 18,452 17,189
-------------- --------------
Total Assets $ 2,460,196 $ 2,301,589
============== ==============
Liabilities, Preferred Stock
and Common Shareholders' Equity:
Liabilities:
Accounts payable and accrued expenses $ 22,625 $ 17,243
Debt and debt equivalents 120,047 121,041
Indebtedness to affiliates and subsidiaries 12,012 10,119
Commitments and contingent liabilities --- ---
-------------- --------------
Total Liabilities 154,685 148,404
-------------- --------------
Convertible preferred stock 1,244 1,022
-------------- --------------
Common Shareholders' Equity:
Common stock 156,335 103,133
Additional paid-in capital 624,519 604,356
Unallocated shares - ESSOP (5,100) (6,100)
Retained earnings 1,709,966 1,486,940
Accumulated other comprehensive income 70,239 64,400
Treasury stock (at cost) (251,694) (100,567)
-------------- --------------
Total Common Shareholders' Equity 2,304,266 2,152,163
-------------- --------------
Total Liabilities, Preferred Stock and
and Common Shareholders' Equity $ 2,460,196 $ 2,301,589
============== ==============
</TABLE>
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<PAGE>
<TABLE>
OLD REPUBLIC INTERNATIONAL CORPORATION AND SUBSIDIARIES
SCHEDULE II - CONDENSED FINANCIAL INFORMATION OF REGISTRANT
STATEMENTS OF INCOME
OLD REPUBLIC INTERNATIONAL CORPORATION (PARENT COMPANY)
($ in Thousands)
- ---------------------------------------------------------------------------------------------------------------------------
Years Ended December 31,
--------------------------------------------------
1998 1997 1996
-------------- -------------- --------------
<S> <C> <C> <C>
Revenues:
Investment income from subsidiaries $ 6,478 $ 7,252 $ 7,856
Real estate and other income 3,361 3,250 3,081
Other investment income 3,632 2,274 986
-------------- -------------- --------------
Total Revenues 13,472 12,778 11,923
-------------- -------------- --------------
Expenses:
Interest -- subsidiaries 605 4,914 6,754
Interest -- other 8,156 4,253 4,015
Real estate and other expenses 2,280 2,274 2,470
General expenses, taxes and fees 6,541 5,937 10,706
-------------- -------------- --------------
Total Expenses 17,583 17,379 23,947
-------------- -------------- --------------
Revenues, net of expenses (4,110) (4,600) (12,023)
Federal income tax credits (938) (2,221) (4,315)
-------------- -------------- --------------
Loss before item below (3,172) (2,379) (7,707)
Extraordinary item, net of tax credits --- --- (4,497)
-------------- -------------- --------------
Loss before equity in earnings of subsidiaries (3,172) (2,379) (12,205)
Equity in Earnings of Subsidiaries:
Dividends received 158,294 226,685 152,875
Earnings in excess of dividends 168,622 73,816 89,695
-------------- -------------- --------------
Net Income $ 323,744 $ 298,122 $ 230,365
============== ============== ==============
</TABLE>
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<PAGE>
<TABLE>
OLD REPUBLIC INTERNATIONAL CORPORATION AND SUBSIDIARIES
SCHEDULE II - CONDENSED FINANCIAL INFORMATION OF REGISTRANT
STATEMENTS OF CASH FLOWS
OLD REPUBLIC INTERNATIONAL CORPORATION (PARENT COMPANY)
($ in Thousands)
- ---------------------------------------------------------------------------------------------------------------------------
Years Ended December 31,
--------------------------------------------------
1998 1997 1996
-------------- -------------- --------------
<S> <C> <C> <C>
Cash flows from operating activities:
Net income $ 323,744 $ 298,122 $ 230,365
Adjustments to reconcile net income to net cash
provided by operating activities:
Accounts receivable 505 (409) 219
Income taxes - net 6,663 (3,205) (10,264)
Excess of equity in net income of subsidiaries
over dividends received (198,665) (101,322) (89,695)
Accounts payable, accrued expenses and other 530 (4,805) 2,072
-------------- -------------- --------------
Total 132,778 188,380 132,696
-------------- -------------- --------------
Cash flows from investing activities:
Sales of fixed maturity securities --- 2,600 ---
Sales of other investments --- 204 227
Sales of fixed assets for company use 113 107 126
Purchases of other investments (527) --- ---
Purchases of fixed assets for company use (29) --- ---
Investments in, and indebtedness of related parties - net 20,782 (124,897) 2,769
-------------- -------------- --------------
Total 20,339 (121,985) 3,123
-------------- -------------- --------------
Cash flows from financing activities:
Issuance of debentures and notes --- 115,000 ---
Issuance of preferred and common stock 19,089 7,381 17,423
Repayment of term loans --- --- (1,000)
Redemption of debentures and notes --- --- (105,084)
Dividends on common shares (52,859) (44,939) (35,915)
Dividends on preferred shares (210) (1,773) (7,662)
Purchase of treasury stock (151,127) (62,138) ---
Redemption of cumulative preferred stock --- --- (54,802)
-------------- -------------- --------------
Total (185,107) 13,528 (187,042)
-------------- -------------- --------------
Increase (decrease) in cash and short-term investments (31,990) 79,923 (51,222)
Cash and short-term investments, beginning of year 84,370 4,447 55,669
-------------- -------------- --------------
Cash and short-term investments, end of year $ 52,380 $ 84,370 $ 4,447
============== ============== ==============
Supplemental Information:
Noncash dividends received from subsidiaries $ 30,043 $ 27,505 $ ---
============== ============== ==============
</TABLE>
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<PAGE>
<TABLE>
OLD REPUBLIC INTERNATIONAL CORPORATION AND SUBSIDIARIES
SCHEDULE III - SUPPLEMENTARY INSURANCE INFORMATION
For the years ended December 31, 1998, 1997 and 1996
($ in Thousands)
- ---------------------------------------------------------------------------------------------------------------------------------
Column A Column B Column C Column D Column E Column F
- -------------------------------------- ---------------- ---------------- ---------------- ---------------- ----------------
Future Policy
Deferred Benefits, Other Policy
Policy Losses, Claims and
Acquisition Claims and Unearned Benefits Premium
Segment Costs Loss Expenses Premiums Payable Revenue
- -------------------------------------- ---------------- ---------------- ---------------- ---------------- ----------------
<S> <C> <C> <C> <C> <C>
Year Ended December 31, 1998:
- --------------------------------------
Insurance Underwriting:
General Insurance Group $55,295 $1,815,168 $278,749 $50,839 $902,599
Mortgage Insurance Group 56,272 167,747 39,050 431 290,731
Title Insurance Group --- 211,743 --- 375 315,854
Life Insurance Group 32,402 148,977 --- 902 59,001
Reinsurance Losses Recoverable (a) --- 1,250,639 42,319 --- ---
---------------- ---------------- ---------------- ---------------- ----------------
Total Insurance Underwriting 143,970 3,594,276 360,120 52,548 1,568,185
Corporate --- --- --- --- ---
---------------- ---------------- ---------------- ---------------- ----------------
Consolidated $143,970 $3,594,276 $360,120 $52,548 $1,568,185
================ ================ ================ ================ ================
Year Ended December 31, 1997:
- --------------------------------------
Insurance Underwriting:
General Insurance Group $56,489 $1,919,323 $289,858 $59,483 $906,342
Mortgage Insurance Group 45,392 150,821 46,383 371 271,005
Title Insurance Group --- 206,928 --- 350 238,672
Life Insurance Group 24,319 142,091 --- 970 48,653
Reinsurance Losses Recoverable (a) --- 1,293,937 39,563 --- ---
---------------- ---------------- ---------------- ---------------- ----------------
Total Insurance Underwriting 126,201 3,713,101 375,805 61,175 1,464,674
Corporate --- --- --- --- ---
---------------- ---------------- ---------------- ---------------- ----------------
Consolidated $126,201 $3,713,101 $375,805 $61,175 $1,464,674
================ ================ ================ ================ ================
Year Ended December 31, 1996:
- --------------------------------------
Insurance Underwriting:
General Insurance Group $54,263 $1,900,624 $289,041 $62,599 $867,662
Mortgage Insurance Group 41,769 119,026 58,320 717 226,597
Title Insurance Group --- 205,309 --- 420 220,216
Life Insurance Group 18,570 143,694 --- 1,573 46,006
Reinsurance Losses Recoverable (a) --- 1,356,757 39,446 --- ---
---------------- ---------------- ---------------- ---------------- ----------------
Total Insurance Underwriting 114,603 3,725,412 386,808 65,311 1,360,483
Corporate --- --- --- --- ---
---------------- ---------------- ---------------- ---------------- ----------------
Consolidated $114,603 $3,725,412 $386,808 $65,311 $1,360,483
================ ================ ================ ================ ================
</TABLE>
Note:(a) Effective January 1, 1993, the Company adopted Financial Accounting
Standard (FAS) No. 113 "Accounting and Reporting for Reinsurance of
Short-Duration and Long-Duration Contracts" which eliminates the reporting
of assets and liabilities relating to reinsured contracts net of
reinsurance ceded balances. Accordingly, reinsured losses and unearned
premiums are to be reported as assets. Assets and liabilities were, as a
result, increased by corresponding amounts of approximately $1.2 billion at
December 31, 1998, $1.3 billion at December 31, 1997 and $1.3 billion at
December 31, 1996. FAS No. 113 did not have any effect on the Company's
results of operations.
-8-
<PAGE>
<TABLE>
OLD REPUBLIC INTERNATIONAL CORPORATION AND SUBSIDIARIES
SCHEDULE III - SUPPLEMENTARY INSURANCE INFORMATION
For the years ended December 31, 1998, 1997 and 1996
($ in Thousands)
- ----------------------------------------------------------------------------------------------------------------------------------
Column A Column G Column H Column I Column J Column K
- -------------------------------------- ---------------- ---------------- ---------------- ---------------- ----------------
Benefits, Amortization
Claims, of Deferred
Net Losses and Policy Other
Investment Settlement Acquisition Operating Premiums
Segment Income Expenses Costs Expenses Written
- -------------------------------------- ---------------- ---------------- ---------------- ---------------- ----------------
<S> <C> <C> <C> <C> <C>
Year Ended December 31, 1998:
- --------------------------------------
Insurance Underwriting:
General Insurance Group $191,873 $641,392 $182,974 $94,854 $892,064
Mortgage Insurance Group 40,114 78,170 40,401 74,380 283,398
Title Insurance Group 19,834 29,008 --- 485,254 315,854
Life Insurance Group 13,592 33,583 8,041 24,521 64,664
Reinsurance Losses Recoverable (a) --- --- --- --- ---
---------------- ---------------- ---------------- ---------------- ----------------
Total Insurance Underwriting 265,414 782,154 231,417 679,010 1,555,981
Corporate 7,776 --- --- 12,410 ---
---------------- ---------------- ---------------- ---------------- ----------------
Consolidated $273,190 $782,154 $231,417 $691,421 $1,555,981
================ ================ ================ ================ ================
Year Ended December 31, 1997:
- --------------------------------------
Insurance Underwriting:
General Insurance Group $197,831 $644,583 $178,176 $88,400 $907,529
Mortgage Insurance Group 35,542 95,530 31,951 44,381 259,068
Title Insurance Group 19,037 18,799 --- 368,085 238,672
Life Insurance Group 13,577 28,706 4,608 22,222 52,772
Reinsurance Losses Recoverable (a) --- --- --- --- ---
---------------- ---------------- ---------------- ---------------- ----------------
Total Insurance Underwriting 265,989 787,620 214,736 523,091 1,458,042
Corporate 4,817 --- --- 10,693 ---
---------------- ---------------- ---------------- ---------------- ----------------
Consolidated $270,807 $787,620 $214,736 $533,785 $1,458,042
================ ================ ================ ================ ================
Year Ended December 31, 1996:
- --------------------------------------
Insurance Underwriting:
General Insurance Group $194,338 $626,466 $168,658 $91,097 $865,197
Mortgage Insurance Group 30,401 81,645 31,170 29,641 211,898
Title Insurance Group 18,621 18,413 --- 344,904 220,216
Life Insurance Group 14,165 25,590 6,612 21,285 48,347
Reinsurance Losses Recoverable (a) --- --- --- --- ---
---------------- ---------------- ---------------- ---------------- ----------------
Total Insurance Underwriting 257,526 752,115 206,441 486,929 1,345,659
Corporate 3,050 --- --- 16,121 ---
---------------- ---------------- ---------------- ---------------- ----------------
Consolidated $260,577 $752,115 $206,441 $503,050 $1,345,659
================ ================ ================ ================ ================
</TABLE>
Note:(a) Effective January 1, 1993, the Company adopted Financial Accounting
Standard (FAS) No. 113 "Accounting and Reporting for Reinsurance of
Short-Duration and Long-Duration Contracts" which eliminates the reporting
of assets and liabilities relating to reinsured contracts net of
reinsurance ceded balances. Accordingly, reinsured losses and unearned
premiums are to be reported as assets. Assets and liabilities were, as a
result, increased by corresponding amounts of approximately $1.2 billion at
December 31, 1998, $1.3 billion at December 31, 1997 and $1.3 billion at
December 31, 1996. FAS No. 113 did not have any effect on the Company's
results of operations.
-8-
<PAGE>
<TABLE>
OLD REPUBLIC INTERNATIONAL CORPORATION AND SUBSIDIARIES
SCHEDULE IV - REINSURANCE
For the years ended December 31, 1998, 1997 and 1996
($ in Thousands)
- -----------------------------------------------------------------------------------------------------------------------------------
Column A Column B Column C Column D Column E Column F
- --------------------------------------- ----------------- ---------------- ----------------- ----------------- ---------------
Percentage
Ceded Assumed of amount
Gross to other from other Net assumed
amount companies companies amount to net
----------------- ---------------- ----------------- ----------------- ---------------
<S> <C> <C> <C> <C> <C>
Year Ended December 31, 1998:
- ---------------------------------------
Life insurance in force $ 11,422,322 $ 4,681,737 $ --- $ 6,740,586 ---%
================= ================ ================= ================= ===============
Premium Revenues:
General Insurance Group $ 1,078,197 $ 203,933 $ 28,334 $ 902,599 3.1%
Mortgage Insurance Group 294,097 3,872 506 290,731 0.2
Title Insurance Group 314,847 242 1,249 315,854 0.4
Life Insurance Group:
Life insurance 36,668 11,951 --- 24,717 ---
Accident and health insurance 48,524 14,343 103 34,284 0.3
----------------- ---------------- ----------------- ----------------- ---------------
Total Life Insurance Group 85,192 26,294 103 59,001 0.2
----------------- ---------------- ----------------- ----------------- ---------------
Consolidating adjustments --- (103) (103) --- ---
----------------- ---------------- ----------------- ----------------- ---------------
Consolidated $ 1,772,334 $ 234,238 $ 30,089 $ 1,568,185 1.9%
================= ================ ================= ================= ===============
Year Ended December 31, 1997:
- ---------------------------------------
Life insurance in force $ 8,708,621 $ 3,795,645 $ --- $ 4,912,976 ---%
================= ================ ================= ================= ===============
Premium Revenues:
General Insurance Group $ 1,100,635 $ 228,905 $ 34,612 $ 906,342 3.8%
Mortgage Insurance Group 271,993 997 9 271,005 ---
Title Insurance Group 237,705 140 1,107 238,672 0.5
Life Insurance Group:
Life insurance 31,707 14,514 --- 17,193 ---
Accident and health insurance 49,596 18,444 308 31,460 1.0
----------------- ---------------- ----------------- ----------------- ---------------
Total Life Insurance Group 81,303 32,958 308 48,653 0.6
----------------- ---------------- ----------------- ----------------- ---------------
Consolidating adjustments --- (308) (308) --- ---
----------------- ---------------- ----------------- ----------------- ---------------
Consolidated $ 1,691,638 $ 262,694 $ 35,730 $ 1,464,674 2.4%
================= ================ ================= ================= ===============
Year Ended December 31, 1996:
- ---------------------------------------
Life insurance in force $ 6,775,896 $ 2,806,220 $ --- $ 3,969,676 ---%
================= ================ ================= ================= ===============
Premium Revenues:
General Insurance Group $ 1,096,877 $ 281,328 $ 52,113 $ 867,662 6.0%
Mortgage Insurance Group 227,859 1,262 --- 226,597 ---
Title Insurance Group 219,273 169 1,112 220,216 0.5
Life Insurance Group:
Life insurance 28,205 12,988 --- 15,217 ---
Accident and health insurance 50,623 20,126 292 30,789 0.9
----------------- ---------------- ----------------- ----------------- ---------------
Total Life Insurance Group 78,828 33,114 292 46,006 0.6
----------------- ---------------- ----------------- ----------------- ---------------
Consolidating adjustments --- (292) (292) --- ---
----------------- ---------------- ----------------- ----------------- ---------------
Consolidated $ 1,622,838 $ 315,582 $ 53,226 $ 1,360,483 3.9%
================= ================ ================= ================= ===============
</TABLE>
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<PAGE>
<TABLE>
OLD REPUBLIC INTERNATIONAL CORPORATION AND SUBSIDIARIES
SCHEDULE VI - SUPPLEMENTAL INFORMATION CONCERNING PROPERTY-CASUALTY INSURANCE OPERATIONS
For the years ended December 31, 1998, 1997 and 1996
($ in Thousands)
- ----------------------------------------------------------------------------------------------------------------------------------
Column A Column B Column C Column D Column E Column F Column G
- -------------------------------------- ------------- ------------- ------------- ------------- ------------- -------------
Reserves for
Deferred Unpaid Claims Discount,
Policy and Claim If Any, Net
Acquisition Adjustment Deducted in Unearned Earned Investment
Affiliation With Registrant Costs Expenses Column C Premiums Premiums Income
- -------------------------------------- ------------- ------------- ------------- ------------- ------------- -------------
<S> <C> <C> <C> <C> <C> <C>
Year Ended December 31, 1998:
- --------------------------------------
(a) Consolidated property-casualty
entities (b) $55,295 $1,815,168 $169,536 $278,749 $902,599 $191,873
(b) Unconsolidated property-casualty
subsidiaries (a)
(c) Proportionate share of registrant
and its subsidiaries' 50%-or-less
owned property-casualty equity
investees (a)
------------- ------------- ------------- ------------- ------------- -------------
$55,295 $1,815,168 $169,536 $278,749 $902,599 $191,873
============= ============= ============= ============= ============= =============
Year Ended December 31, 1997:
- --------------------------------------
(a) Consolidated property-casualty
entities (b) $56,489 $1,919,323 $167,710 $289,858 $906,342 $197,831
(b) Unconsolidated property-casualty
subsidiaries (a)
(c) Proportionate share of registrant
and its subsidiaries' 50%-or-less
owned property-casualty equity
investees (a)
------------- ------------- ------------- ------------- ------------- -------------
$56,489 $1,919,323 $167,710 $289,858 $906,342 $197,831
============= ============= ============= ============= ============= =============
Year Ended December 31, 1996:
- --------------------------------------
(a) Consolidated property-casualty
entities (b) $54,263 $1,900,624 $163,180 $289,041 $867,662 $194,338
(b) Unconsolidated property-casualty
subsidiaries (a)
(c) Proportionate share of registrant
and its subsidiaries' 50%-or-less
owned property-casualty equity
investees (a)
------------- ------------- ------------- ------------- ------------- -------------
$54,263 $1,900,624 $163,180 $289,041 $867,662 $194,338
============= ============= ============= ============= ============= =============
</TABLE>
Note: (a) These amounts are immaterial and have, therefore, been omitted from
this schedule.
(b) See note (a) to Schedule III.
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<PAGE>
<TABLE>
OLD REPUBLIC INTERNATIONAL CORPORATION AND SUBSIDIARIES
SCHEDULE VI - SUPPLEMENTAL INFORMATION CONCERNING PROPERTY-CASUALTY INSURANCE OPERATIONS
For the years ended December 31, 1998, 1997 and 1996
($ in Thousands)
- -------------------------------------------------------------------------------------------------------------------
Column A Column H Column I Column J Column K
- -------------------------------------- ---------------------------- ------------- ------------- -------------
Claims and Claim
Adjustment Expenses Amortization Paid
Incurred Related to of Deferred Claims
---------------------------- Policy and Claim
Current Prior Acquisition Adjustment Premiums
Affiliation With Registrant Year Years Costs Expenses Written
- -------------------------------------- ------------- ------------- ------------- ------------- -------------
<S> <C> <C> <C> <C> <C>
Year Ended December 31, 1998:
- --------------------------------------
(a) Consolidated property-casualty
entities (b) $764,770 ($123,758) $182,974 $745,161 $892,064
(b) Unconsolidated property-casualty
subsidiaries (a)
(c) Proportionate share of registrant
and its subsidiaries' 50%-or-less
owned property-casualty equity
investees (a)
------------- ------------- ------------- ------------- -------------
$764,770 ($123,758) $182,974 $745,161 $892,064
============= ============= ============= ============= =============
Year Ended December 31, 1997:
- --------------------------------------
(a) Consolidated property-casualty
entities (b) $750,355 ($105,495) $178,176 $626,168 $907,529
(b) Unconsolidated property-casualty
subsidiaries (a)
(c) Proportionate share of registrant
and its subsidiaries' 50%-or-less
owned property-casualty equity
investees (a)
------------- ------------- ------------- ------------- -------------
$750,355 ($105,495) $178,176 $626,168 $907,529
============= ============= ============= ============= =============
Year Ended December 31, 1996:
- --------------------------------------
(a) Consolidated property-casualty
entities (b) $700,847 ($74,376) $168,658 $616,255 $865,197
(b) Unconsolidated property-casualty
subsidiaries (a)
(c) Proportionate share of registrant
and its subsidiaries' 50%-or-less
owned property-casualty equity
investees (a)
------------- ------------- ------------- ------------- -------------
$700,847 ($74,376) $168,658 $616,255 $865,197
============= ============= ============= ============= =============
</TABLE>
Note: (a) These amounts are immaterial and have, therefore, been omitted from
this schedule.
(b) See note (a) to Schedule III.
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<PAGE>
<TABLE>
Exhibit 28 Consolidated Schedule P
---------------------------------------------
Schedule P - Part 3 OLD REPUBLIC INTERNATIONAL CORPORATION CONSOLIDATED - GRAND TOTAL - ($ in thousands) (a)
Premiums
were earned Allocated Unallocated Loss & Loss
& Losses Premiums Loss Salvage Loss Expense Loss Expense Expense
incurred Earned Payments Received Payments Ratio Payments Ratio Payments Ratio
- ------------- ------------ ---------- ---------- ------------- ------- ------------ ------- ----------- -------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Prior $4,221,498 $2,463,757 $139,729 $306,463 12.44% $95,220 3.86% $2,865,440 67.88%
1989 617,755 349,077 25,147 40,032 11.47% 15,274 4.38% 404,383 65.46%
1990 679,000 409,011 18,606 48,315 11.81% 17,220 4.21% 474,546 69.89%
1991 740,239 398,448 17,276 44,364 11.13% 17,803 4.47% 460,615 62.23%
1992 815,871 409,125 18,534 45,397 11.10% 20,732 5.07% 475,254 58.25%
1993 875,847 454,074 18,754 58,330 12.85% 25,889 5.70% 538,293 61.46%
1994 867,630 445,349 20,225 56,558 12.70% 28,199 6.33% 530,106 61.10%
1995 850,211 395,452 22,552 49,001 12.39% 30,943 7.82% 475,396 55.92%
1996 846,760 406,248 24,104 44,765 11.02% 35,355 8.70% 486,368 57.44%
1997 879,848 388,011 26,504 34,846 8.98% 34,220 8.82% 457,077 51.95%
1998 867,430 286,806 19,217 20,447 7.13% 25,780 8.99% 333,033 38.39%
----------- ---------- ---------- ------------- ------- ------------ ------- ----------- --------
Totals $12,262,089 $6,405,358 $350,648 $748,518 11.69% $346,635 5.41% $7,500,511 61.17%
=========== ========== ========== ============= ======== ============ ======= =========== ========
</TABLE>
(a) Prepared in accordance with the 1998 guidelines set by the NAIC.
<TABLE>
Exhibit 28 Consolidated Schedule P
---------------------------------------------
Schedule P - Part 3 OLD REPUBLIC INTERNATIONAL CORPORATION CONSOLIDATED - GRAND TOTAL - ($ in thousands) (a)
Premiums Total Loss
were earned Unpaid & Loss
& Losses # of Claims Unpaid Loss Expense 1998
incurred Outstanding Losses Expense Incurred Ratio
- -------------- ------------- ----------- ----------- ----------- -------
<S> <C> <C> <C> <C> <C>
Prior XXX $409,515 $36,615 $3,311,570 78.45%
1989 XXX 52,883 5,126 462,392 74.85%
1990 XXX 54,178 4,596 533,320 78.54%
1991 XXX 57,734 6,000 524,349 70.84%
1992 XXX 57,367 11,661 544,282 66.71%
1993 XXX 55,825 8,938 603,056 68.85%
1994 XXX 64,037 12,402 606,545 69.91%
1995 XXX 107,988 17,755 601,139 70.70%
1996 XXX 132,546 28,713 647,627 76.48%
1997 XXX 222,264 42,671 722,012 82.06%
1998 XXX 345,806 86,301 765,140 88.21%
------------- ----------- ----------- ----------- -------
Totals XXX $1,560,143 $260,778 $9,321,432 76.02%
============= =========== =========== =========== =======
</TABLE>
(a) Prepared in accordance with the 1998 guidelines set by the NAIC.
-11-
