Exhibit 99.2
The Midland Company
Supplemental Financial Information
2006 | 2007 | |||||||||||||||||||||||
($ in millions except per share data) | 1st Qtr | 2nd Qtr | 3rd Qtr | 4th Qtr | YTD | 1st Qtr | ||||||||||||||||||
Direct & Assumed Written Premium: | ||||||||||||||||||||||||
Property-Casualty Premiums | ||||||||||||||||||||||||
Mobile Home and Related | 81.0 | 90.5 | 88.0 | 78.3 | 337.8 | 82.7 | ||||||||||||||||||
All Other Specialty Lines | 94.1 | 118.9 | 124.7 | 105.3 | 443.0 | 122.7 | ||||||||||||||||||
Total Property and Casualty | 175.1 | 209.4 | 212.7 | 183.6 | 780.8 | 205.4 | ||||||||||||||||||
Revenues: | ||||||||||||||||||||||||
Insurance: | ||||||||||||||||||||||||
Premiums Earned | 159.2 | 162.3 | 175.7 | 178.7 | 675.9 | 179.9 | ||||||||||||||||||
Net Investment Income | 10.3 | 10.2 | 10.5 | 11.2 | 42.2 | 11.4 | ||||||||||||||||||
Net Realized Investment Gains | 2.4 | 1.9 | 1.1 | 3.0 | 8.4 | 2.5 | ||||||||||||||||||
Other Insurance Income | 3.2 | 3.3 | 3.3 | 3.2 | 13.0 | 3.3 | ||||||||||||||||||
Transportation | 11.8 | 12.5 | 14.2 | 11.3 | 49.8 | 12.8 | ||||||||||||||||||
Total Revenues | 186.9 | 190.2 | 204.8 | 207.4 | 789.3 | 209.9 | ||||||||||||||||||
Costs & Expenses: | ||||||||||||||||||||||||
Insurance: | ||||||||||||||||||||||||
Losses & Loss Adjustment Expenses | 60.9 | 91.9 | 81.9 | 72.8 | 307.5 | 73.9 | ||||||||||||||||||
Commissions & Other Policy Acquisition Costs | 54.2 | 43.7 | 56.4 | 55.4 | 209.7 | 61.3 | ||||||||||||||||||
Operating & Administrative Expenses | 28.8 | 29.5 | 30.2 | 38.7 | 127.2 | 30.8 | ||||||||||||||||||
Transportation Operating Expenses | 9.5 | 11.0 | 11.9 | 9.4 | 41.8 | 9.0 | ||||||||||||||||||
Interest Expense | 1.4 | 1.4 | 1.3 | 1.1 | 5.2 | 1.0 | ||||||||||||||||||
Total Costs and Expenses | 154.8 | 177.5 | 181.7 | 177.4 | 691.4 | 176.0 | ||||||||||||||||||
INCOME BEFORE FIT | 32.1 | 12.7 | 23.1 | 30.0 | 97.9 | 33.9 | ||||||||||||||||||
Pretax Margin | 17.17 | % | 6.68 | % | 11.28 | % | 14.46 | % | 12.40 | % | 16.15 | % | ||||||||||||
Provision for Federal Income Taxes (Credit) | 9.7 | 2.9 | 5.7 | 8.9 | 27.2 | 10.1 | ||||||||||||||||||
NET INCOME | 22.4 | 9.8 | 17.4 | 21.1 | 70.7 | 23.8 | ||||||||||||||||||
NET INCOME BEFORE REALIZED CAPITAL GAINS * | 20.8 | 8.5 | 16.7 | 19.2 | 65.1 | 22.1 | ||||||||||||||||||
Per Share (Post Split) Amounts | ||||||||||||||||||||||||
EPS (Diluted) | $ | 1.15 | $ | 0.50 | $ | 0.88 | $ | 1.07 | 3.60 | $ | 1.20 | |||||||||||||
Realized Capital Gains (Losses) Per Share | 0.08 | 0.06 | 0.03 | 0.10 | 0.29 | 0.09 | ||||||||||||||||||
EPS Before Realized Capital Gains (Diluted) * | $ | 1.07 | $ | 0.44 | $ | 0.85 | $ | 0.97 | $ | 3.31 | $ | 1.11 | ||||||||||||
Diluted Average Shares Outstanding (thousands) | 19,511 | 19,585 | 19,644 | 19,729 | 19,585 | 19,863 | ||||||||||||||||||
Total Shares Outstanding (thousands) | 19,040 | 19,089 | 19,147 | 19,224 | 19,147 | 19,259 | ||||||||||||||||||
Dividends Per Common Share | $ | 0.0613 | $ | 0.0613 | $ | 0.0613 | $ | 0.0613 | $ | 0.2450 | $ | 0.1000 | ||||||||||||
Other Relevant Financial Information | ||||||||||||||||||||||||
Property and Casualty Operations | ||||||||||||||||||||||||
P&C Combined Ratio | ||||||||||||||||||||||||
GAAP Combined Ratio | 88.8 | % | 100.1 | % | 95.1 | % | 91.0 | % | 93.8 | % | 91.3 | % | ||||||||||||
Less: Impact of Net CAT Losses on P&C Loss Ratio | -2.9 | % | -12.2 | % | -2.5 | % | -3.6 | % | -5.3 | % | -1.9 | % | ||||||||||||
GAAP Combined Ratio Excluding CAT Losses | 85.9 | % | 87.9 | % | 92.6 | % | 87.4 | % | 88.5 | % | 89.4 | % | ||||||||||||
Consolidated (P&C & Life) Insurance Operations | ||||||||||||||||||||||||
Various Requested Ratios | ||||||||||||||||||||||||
Losses / Earned Premiums | 38.3 | % | 56.6 | % | 46.61 | % | 40.7 | % | 45.5 | % | 41.08 | % | ||||||||||||
Insurance Operating Expenses / Earned Premiums | 18.1 | % | 18.2 | % | 17.19 | % | 21.7 | % | 18.8 | % | 17.12 | % | ||||||||||||
Commissions / Earned Premiums | 34.0 | % | 26.9 | % | 32.10 | % | 31.0 | % | 31.0 | % | 34.07 | % | ||||||||||||
Losses & Commissions / Earned Premiums | 72.3 | % | 83.5 | % | 78.71 | % | 71.7 | % | 76.5 | % | 75.15 | % | ||||||||||||
Consolidated Midland Operations | ||||||||||||||||||||||||
Various Requested Ratios | ||||||||||||||||||||||||
Cash & Invested Assets | 944.0 | 944.3 | 1,005.5 | 1,036.4 | 1,037.3 | |||||||||||||||||||
Average Invested Assets | 947.3 | 947.4 | 978.0 | 993.5 | 1,036.9 | |||||||||||||||||||
Consolidated MLAN Investment Portfolio Composition | ||||||||||||||||||||||||
Fixed Income Securities | 740.3 | 736.1 | 787.0 | 801.7 | 780.7 | |||||||||||||||||||
Total Equity Securities | 199.5 | 201.8 | 213.0 | 229.7 | 250.8 | |||||||||||||||||||
Fixed Income Securities as a % of Investment Portfolio | 78.8 | % | 78.5 | % | 78.7 | % | 77.7 | % | 75.7 | % | ||||||||||||||
Total Equity Securities as a % of Investment Portfolio | 21.2 | % | 21.5 | % | 21.3 | % | 22.3 | % | 24.3 | % | ||||||||||||||
Net Book Value Per Share (post split) | ||||||||||||||||||||||||
Total Shareholders’ Equity | 506.7 | 510.4 | 545.7 | 574.7 | 597.1 | |||||||||||||||||||
Total Net Book Value Per Share | �� | $ | 26.61 | $ | 26.74 | $ | 28.50 | $ | 29.90 | $ | 30.93 | |||||||||||||
Less (Add): Net U/R Gain on Fixed Income Portfolio | 0.03 | (0.28 | ) | 0.26 | 0.29 | 0.26 | ||||||||||||||||||
Book Value Per Share (Net of FAS 115) | $ | 26.58 | $ | 27.02 | $ | 28.24 | $ | 29.61 | $ | 30.67 | ||||||||||||||
Less (Add): Net U/R Gain on Equity Income Portfolio | 3.10 | 3.04 | 3.37 | 3.79 | 3.65 | |||||||||||||||||||
Book Value Per Share (Net of Unrealized Gain on Mrkt Sec) | $ | 23.48 | $ | 23.98 | $ | 24.87 | $ | 25.82 | $ | 27.02 | ||||||||||||||
* | Net income before realized capital gains is a non-GAAP measure. Items excluded from this measure are significant components in understanding and assessing financial performance. The company believes that this non-GAAP financial measure provides a clearer picture of the underlying operating activities than the GAAP measure of net income, as it removes potential issues such as timing of investment gains (or losses) and allows readers to individually assess these components of net income. |