Exhibit 99.1
CASE NAME: Acceptance Insurance Companies Inc.
CASE NO: 05-80059
Form OPR-1A
COMPARATIVE BALANCE SHEET
ASSETS
9/30/07 | 10/31/07 | 11/30/07 | 12/31/07 | 1/31/08 | 2/29/08 | |||||||||||||
CURRENT ASSETS: | ||||||||||||||||||
Cash (Attach Recons. & Bk Stmts.) | 1,045 | 174 | 1,042 | (18,092 | ) | (22,338 | ) | 1,840 | ||||||||||
Investment securities, at market | 1,338,405 | 1,306,525 | 1,299,985 | 1,254,963 | 1,220,319 | 1,187,641 | ||||||||||||
Prepaid expense & deposits | 60,000 | 60,000 | 60,000 | 60,000 | 60,000 | 60,000 | ||||||||||||
TOTAL CURRENT ASSETS | 1,399,450 | 1,366,699 | 1,361,027 | 1,296,871 | 1,257,981 | 1,249,481 | ||||||||||||
OTHER ASSETS: | ||||||||||||||||||
Note receivable from AIC | 20,000,000 | 20,000,000 | 20,000,000 | 20,000,000 | 20,000,000 | 20,000,000 | ||||||||||||
Valuation allowance | (20,000,000 | ) | (20,000,000 | ) | (20,000,000 | ) | (20,000,000 | ) | (20,000,000 | ) | (20,000,000 | ) | ||||||
Investment in AIC, at underlying book value | 11,945,142 | 13,439,301 | 13,439,301 | 13,439,301 | 14,096,550 | 14,096,550 | ||||||||||||
Contingent claims | 21,500,000 | 21,500,000 | 21,500,000 | 21,500,000 | 21,500,000 | 21,500,000 | ||||||||||||
TOTAL OTHER ASSETS | 33,445,142 | 34,939,301 | 34,939,301 | 34,939,301 | 35,596,550 | 35,596,550 | ||||||||||||
TOTAL ASSETS | 34,844,592 | 36,306,000 | 36,300,328 | 36,236,172 | 36,854,531 | 36,846,031 | ||||||||||||
I CERTIFY UNDER PENALTY OF PERJURY THAT THIS 5 PAGE OPERATING REPORT IS TRUE AND CORRECT.
Date Submitted | March 11, 2008 | Signed | /s/ Gary N Thompson | Printed Name of Signatory | Gary N Thompson |
CASE NAME: Acceptance Insurance Companies Inc.
CASE NO: 05-80059 | Form OPR-1B |
9/30/07 | 10/31/07 | 11/30/07 | 12/31/07 | 1/31/08 | 1/31/08 | |||||||||||||
LIABILITIES: | ||||||||||||||||||
Post-Petition debt (Sched. C) | 49,938 | 60,592 | 67,821 | 31,629 | 25,649 | 28,066 | ||||||||||||
Pre-Petition Debt: | ||||||||||||||||||
Litigation claims | 22,000,000 | 22,000,000 | 22,000,000 | 22,000,000 | 22,000,000 | 22,000,000 | ||||||||||||
Unsecured liabilities | 46,054 | 46,054 | 46,054 | 46,054 | 46,054 | 46,054 | ||||||||||||
Unsecured debt | 116,110,260 | 116,110,260 | 116,110,260 | 116,110,260 | 116,110,260 | 116,110,260 | ||||||||||||
TOTAL LIABILITIES | 138,206,252 | 138,216,906 | 138,224,135 | 138,187,943 | 138,181,963 | 138,184,380 | ||||||||||||
SHAREHOLDERS EQUITY: | ||||||||||||||||||
Preferred stock | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||
Common stock | 6,274,000 | 6,274,000 | 6,274,000 | 6,274,000 | 6,274,000 | 6,274,000 | ||||||||||||
Paid-in capital | 199,660,000 | 199,660,000 | 199,660,000 | 199,660,000 | 199,660,000 | 199,660,000 | ||||||||||||
Treasury stock | (29,969,000 | ) | (29,969,000 | ) | (29,969,000 | ) | (29,969,000 | ) | (29,969,000 | ) | (29,969,000 | ) | ||||||
Retained earnings: | ||||||||||||||||||
As of filing date | (281,005,796 | ) | (281,005,796 | ) | (281,005,796 | ) | (281,005,796 | ) | (281,005,796 | ) | (281,005,796 | ) | ||||||
After filing date | 1,679,136 | 3,129,890 | 3,116,989 | 3,089,025 | 3,713,364 | 3,702,447 | ||||||||||||
TOTAL SHAREHOLDERS EQUITY | (103,361,660 | ) | (101,910,906 | ) | (101,923,807 | ) | (101,951,771 | ) | (101,327,432 | ) | (101,338,349 | ) | ||||||
TOTAL LIABILITIES AND SHAREHOLDER EQUITY | 34,844,592 | 36,306,000 | 36,300,328 | 36,236,172 | 36,854,531 | 36,846,031 | ||||||||||||
CASE NAME: Acceptance Insurance Companies Inc.
CASE NO: 05-80059 | Form OPR-2 |
STATEMENT OF INCOME
9/30/07 | 10/31/07 | 11/30/07 | 12/31/07 | 1/31/08 | 2/29/08 | |||||||||||||
REVENUE: | ||||||||||||||||||
Net investment income | 5,318 | 5,747 | 5,096 | 4,447 | 3,941 | 2,681 | ||||||||||||
Net realized gain | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||
Other | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||
OPERATING EXPENSES: | ||||||||||||||||||
Salaries and benefits | (6,949 | ) | (6,949 | ) | (6,949 | ) | (6,745 | ) | (7,583 | ) | (7,582 | ) | ||||||
Board fees and expenses | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||
Financial advisor fees and expenses | 0 | 0 | 0 | (6,955 | ) | 0 | 0 | |||||||||||
Legal fees and expenses | (49,745 | ) | (34,394 | ) | (9,366 | ) | (17,701 | ) | (26,985 | ) | (3,995 | ) | ||||||
Accounting fees and expenses | 0 | (5,174 | ) | 0 | 0 | 0 | 0 | |||||||||||
Insurance | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||
Franchise taxes | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||
Filing fees and expenses | (2,447 | ) | (2,630 | ) | (1,668 | ) | (1,006 | ) | (2,247 | ) | (2,016 | ) | ||||||
Miscellaneous | (5 | ) | (5 | ) | (14 | ) | (5 | ) | (37 | ) | (5 | ) | ||||||
NET OPERATING INCOME / LOSS | (53,828 | ) | (43,405 | ) | (12,901 | ) | (27,965 | ) | (32,911 | ) | (10,917 | ) | ||||||
OTHER INCOME (EXPENSE): | ||||||||||||||||||
Interest expense | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||
Income tax refund | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||
Equity in operating earnings of AIC | 0 | 1,255,712 | 0 | 0 | 476,849 | 0 | ||||||||||||
Equity in unrealized losses of securities of AIC | 0 | 238,447 | 0 | 0 | 180,400 | 0 | ||||||||||||
TOTAL OTHER INCOME (EXPENSE) | 0 | 1,494,159 | 0 | 0 | 657,249 | 0 | ||||||||||||
NET INCOME (LOSS) | (53,828 | ) | 1,450,754 | (12,901 | ) | (27,965 | ) | 624,338 | (10,917 | ) | ||||||||
CASE NAME: Acceptance Insurance Companies Inc.
CASE NO: 05-80059 | Form OPR-3 |
SOURCES AND USE OF CASH
9/30/07 | 10/31/07 | 11/30/07 | 12/31/07 | 1/31/08 | 2/29/08 | |||||||||||||
CASH DIFFERENCE: | ||||||||||||||||||
Current ending cash balance | 1,045 | 174 | 1,042 | (18,092 | ) | (22,338 | ) | 1,840 | ||||||||||
Less ending prior month balance | 1,574 | (1,045 | ) | (174 | ) | (1,042 | ) | 18,092 | 22,338 | |||||||||
NET CASH INCREASE (DECREASE) | 2,619 | (871 | ) | 868 | (19,134 | ) | (4,246 | ) | 24,178 | |||||||||
SOURCES OF CASH: | ||||||||||||||||||
Net income (loss) | (53,828 | ) | 1,450,754 | (12,901 | ) | (27,965 | ) | 624,338 | (10,917 | ) | ||||||||
Equity in earnings and unrealized losses of AIC | 0 | (1,494,159 | ) | 0 | 0 | (657,249 | ) | 0 | ||||||||||
Decrease in: | ||||||||||||||||||
Receivables | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||
Marketable securities | 60,154 | 31,880 | 6,540 | 45,023 | 34,645 | 32,678 | ||||||||||||
Increase in: | ||||||||||||||||||
Post- petition debt | 0 | 10,654 | 7,229 | 0 | 0 | 2,417 | ||||||||||||
Pre-petition debt | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||
TOTAL SOURCES OF CASH | 6,326 | (871 | ) | 868 | 17,058 | 1,734 | 24,178 | |||||||||||
USES OF CASH: | ||||||||||||||||||
Increase in: | ||||||||||||||||||
Receivables | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||
Marketable securities | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||
Decrease in: | ||||||||||||||||||
Post- petition debt | (3,707 | ) | 0 | 0 | (36,192 | ) | (5,980 | ) | 0 | |||||||||
Pre-petition debt | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||
TOTAL USES OF CASH | (3,707 | ) | 0 | 0 | (36,192 | ) | (5,980 | ) | 0 | |||||||||
NET CASH INCREASE (DECREASE) | 2,619 | (871 | ) | 868 | (19,134 | ) | (4,246 | ) | 24,178 | |||||||||
CASE NAME: Acceptance Insurance Companies Inc.
CASE NO: 05-80059
SCHEDULE C
SCHEDULE OF POST PETITION DEBT
9/30/07 | 10/31/07 | 11/30/07 | 12/31/07 | 1/31/08 | 2/29/08 | |||||||
TRADE ACCOUNTS PAYABLE | 49,938 | 60,592 | 67,821 | 31,629 | 25,649 | 28,066 | ||||||
PAYROLL AND PAYROLL TAXES | 0 | 0 | 0 | 0 | 0 | 0 | ||||||
TAXES PAYABLE | 0 | 0 | 0 | 0 | 0 | 0 | ||||||
TOTAL POST PETITION DEBT | 49,938 | 60,592 | 67,821 | 31,629 | 25,649 | 28,066 | ||||||