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 2001
-------------------------
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 25, 2002 By: /s/ John S. Adams
-------------- -----------------------------------
(Signature)
John S. Adams
Senior Vice President and
Chief Financial Officer
Total Pages: 11
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, 2001
Schedule II - Condensed Financial Information of Registrant as of December
31, 2001 and 2000 and for the years ended December 31, 2001,
2000, and 1999
Schedule III - Supplementary Insurance Information for the years ended
December 31, 2001, 2000 and 1999
Schedule IV - Reinsurance for the years ended December 31, 2001, 2000 and
1999
Schedule VI - Supplemental Information Concerning Property - Casualty
Insurance Operations for the years ended December 31, 2001,
2000 and 1999
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 by the Report of Independent Accountants.
-2-
REPORT OF INDEPENDENT ACCOUNTANTS
To the Board of Directors and Shareholders of
Old Republic International Corporation
Chicago, Illinois
Our audits of the consolidated financial statements of Old Republic
International Corporation and its subsidiaries at December 31, 2001 and 2000,
and for each of the three years in the period ended December 31, 2001 referred
to in our report dated March 12, 2002, is included on page 51 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, these financial statement schedules present fairly, in all material
respects, the information set forth therein when read in conjunction with the
related consolidated financial statements.
/s/ PricewaterhouseCoopers LLP
Chicago, Illinois
March 12, 2002
-3-
OLD REPUBLIC INTERNATIONAL CORPORATION AND SUBSIDIARIES
SCHEDULE I - SUMMARY OF INVESTMENTS - OTHER THAN INVESTMENTS IN RELATED PARTIES
As of December 31, 2001
($ in Thousands)
- --------------------------------------------------------------------------------------------------------------------------------
Column A Column B Column C Column D
----------------- ----------------- ----------------- -----------------
Amount at
Fair which shown
Type of investment Cost (a) Value in balance sheet
- ------------------ ----------------- ----------------- -----------------
<s> <c> <c> <c>
Held to maturity:
Fixed maturity securities:
States, municipalities and political subdivisions $ 1,333,418 $ 1,372,111 $ 1,333,418
Public utilities 777,692 800,748 777,692
Redeemable preferred stocks 772 797 772
----------------- ----------------- -----------------
2,111,882 $ 2,173,656 2,111,882
=================
Other long-term investments 60,869 60,869
----------------- -----------------
Total 2,172,751 2,172,751
----------------- -----------------
Available for sale:
Fixed maturity securities:
United States Government and government
agencies and authorities 791,661 $ 815,236 815,236
Foreign government 52,496 53,823 53,823
Corporate, industrial and all other 1,692,257 1,741,205 1,741,205
----------------- ----------------- -----------------
2,536,414 $ 2,610,265 2,610,265
----------------- ================= -----------------
Equity Securities:
Non-redeemable preferred stocks 1,778 $ 1,774 1,774
Common stocks:
Public utilities 14,749 14,469 14,469
Banks, trusts and insurance companies 33,132 36,636 36,636
Industrial, miscellaneous and all other 268,726 338,726 338,726
----------------- ----------------- -----------------
318,385 $ 391,605 391,605
----------------- ================= -----------------
Short-term investments 298,574 298,574
----------------- -----------------
Total 3,153,373 3,300,444
----------------- -----------------
Total Investments $ 5,326,124 $ 5,473,195
================= =================
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-
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,
--------------------------------------
2001 2000
----------------- ----------------
<s> <c> <c>
Assets:
Bonds and notes $ 10,500 $ 9,500
Cash 288 5,208
Short-term investments 12,051 6,931
Investments in, and indebtedness of related parties:
Subsidiaries and affiliates, at equity 2,839,658 2,540,269
Indebtedness of affiliates 82,934 105,273
Other assets 22,226 20,460
----------------- ----------------
Total Assets $ 2,967,660 $ 2,687,643
================= ================
Liabilities, Preferred Stock
and Common Shareholders' Equity:
Liabilities:
Accounts payable and accrued expenses $ 33,430 $ 18,076
Debt and debt equivalents 114,965 114,959
Indebtedness to affiliates and subsidiaries 35,172 115,164
Commitments and contingent liabilities --- ---
----------------- ----------------
Total Liabilities 183,569 248,200
----------------- ----------------
Convertible preferred stock 307 722
----------------- ----------------
Common Shareholders' Equity:
Common stock 122,168 121,444
Additional paid-in capital 219,893 207,854
Retained earnings 2,383,295 2,106,433
Accumulated other comprehensive income 91,111 35,673
Treasury stock (at cost) (32,685) (32,685)
----------------- ----------------
Total Common Shareholders' Equity 2,783,783 2,438,720
----------------- ----------------
Total Liabilities, Preferred Stock and
and Common Shareholders' Equity $ 2,967,660 $ 2,687,643
================= ================
-5-
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,
--------------------------------------------------------
2001 2000 1999
--------------- --------------- ---------------
<s> <c> <c> <c>
Revenues:
Investment income from subsidiaries $ 8,768 $ 8,964 $ 5,622
Real estate and other income 3,870 3,692 3,789
Realized investment gains 4,450 --- ---
Other investment income 914 1,250 1,680
--------------- --------------- ---------------
Total Revenues 18,003 13,907 11,091
--------------- --------------- ---------------
Expenses:
Interest -- subsidiaries 4,488 7,353 1,394
Interest -- other 8,155 8,155 8,155
Real estate and other expenses 2,910 2,844 2,638
General expenses, taxes and fees 6,813 5,673 5,361
--------------- --------------- ---------------
Total Expenses 22,368 24,027 17,549
--------------- --------------- ---------------
Revenues, net of expenses (4,364) (10,119) (6,458)
Federal income tax credits (4,344) (3,596) (2,701)
--------------- --------------- ---------------
Loss before equity in earnings of subsidiaries (20) (6,523) (3,757)
Equity in Earnings of Subsidiaries:
Dividends received 120,380 119,650 178,970
Earnings in excess of dividends 226,612 184,460 51,626
--------------- --------------- ---------------
Net Income $ 346,971 $ 297,587 $ 226,839
=============== =============== ===============
-6-
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,
-------------------------------------------------------
2001 2000 1999
--------------- --------------- ---------------
<s> <c> <c> <c>
Cash flows from operating activities:
Net income $ 346,971 $ 297,587 $ 226,839
Adjustments to reconcile net income to net cash
provided by operating activities:
Accounts receivable (112) 204 (131)
Income taxes - net 14,356 (27,416) 22,207
Excess of equity in net income of subsidiaries
over dividends received (226,612) (184,460) (72,126)
Accounts payable, accrued expenses and other 6,199 4,277 (1,783)
--------------- --------------- ---------------
Total 140,801 90,191 175,004
--------------- --------------- ---------------
Cash flows from investing activities:
Sales of other investments 8 7 7
Sales of fixed assets for company use 42 --- 48
Purchases of fixed assets for company use (306) (1,508) (451)
Investments in, and indebtedness of related parties - net (79,612) 33,601 28,485
--------------- --------------- ---------------
Total (79,868) 32,101 28,088
--------------- --------------- ---------------
Cash flows from financing activities:
Issuance of preferred and common stock 9,376 13,775 3,184
Dividends on common shares (70,072) (65,000) (62,667)
Dividends on preferred shares (36) (120) (135)
Purchase of treasury stock --- (66,493) (188,169)
--------------- --------------- ---------------
Total (60,733) (117,839) (247,787)
--------------- --------------- ---------------
Increase (decrease) in cash and short-term investments 200 4,453 (44,694)
Cash and short-term investments, beginning of year 12,139 7,686 52,380
--------------- --------------- ---------------
Cash and short-term investments, end of year $ 12,340 $ 12,139 $ 7,686
=============== =============== ===============
Supplemental Information:
Noncash dividends received from subsidiaries $ --- $ --- $ 20,500
=============== =============== ===============
-7-
OLD REPUBLIC INTERNATIONAL CORPORATION AND SUBSIDIARIES
SCHEDULE III - SUPPLEMENTARY INSURANCE INFORMATION
For the years ended December 31, 2001, 2000 and 1999
($ 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 (b) Loss Expenses Premiums (b) Payable Revenue
------------------------------------- ---------------- ---------------- ---------------- ---------------- ----------------
<s> <c> <c> <c> <c> <c>
Year Ended December 31, 2001:
-------------------------------------
Insurance Underwriting:
General Insurance Group $80,277 $1,755,597 $496,048 $51,807 $1,000,291
Mortgage Insurance Group 60,902 193,017 38,224 --- 353,188
Title Insurance Group --- 215,634 --- 951 382,700
Life Insurance Group 38,660 76,721 --- 571 50,674
Reinsurance Losses Recoverable (a) --- 1,320,456 69,861 --- ---
---------------- ---------------- ---------------- ---------------- ----------------
Total Insurance Underwriting 179,840 3,561,428 604,134 53,330 1,786,854
Corporate --- --- --- --- ---
---------------- ---------------- ---------------- ---------------- ----------------
Consolidated $179,840 $3,561,428 $604,134 $53,330 $1,786,854
================ ================ ================ ================ ================
Year Ended December 31, 2000:
-------------------------------------
Insurance Underwriting:
General Insurance Group $53,934 $1,734,650 $307,227 $44,396 $857,838
Mortgage Insurance Group 57,654 183,457 37,265 --- 331,490
Title Insurance Group --- 212,083 --- 750 307,611
Life Insurance Group 36,516 82,567 --- 588 53,431
Reinsurance Losses Recoverable (a) --- 1,297,393 53,087 --- ---
---------------- ---------------- ---------------- ---------------- ----------------
Total Insurance Underwriting 148,105 3,510,152 397,580 45,735 1,550,371
Corporate --- --- --- --- ---
---------------- ---------------- ---------------- ---------------- ----------------
Consolidated $148,105 $3,510,152 $397,580 $45,735 $1,550,371
================ ================ ================ ================ ================
Year Ended December 31, 1999:
-------------------------------------
Insurance Underwriting:
General Insurance Group $51,370 $1,770,826 $280,308 $50,792 $853,498
Mortgage Insurance Group 60,755 184,027 36,310 --- 300,346
Title Insurance Group --- 215,838 --- 327 359,314
Life Insurance Group 39,012 88,222 --- 905 54,069
Reinsurance Losses Recoverable (a) --- 1,302,127 48,122 --- ---
---------------- ---------------- ---------------- ---------------- ----------------
Total Insurance Underwriting 151,138 3,561,042 364,740 52,025 1,567,229
Corporate --- --- --- --- ---
---------------- ---------------- ---------------- ---------------- ----------------
Consolidated $151,138 $3,561,042 $364,740 $52,025 $1,567,229
================ ================ ================ ================ ================
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 $1.3 billion at
December 31, 2001, 2000 and 1999. FAS No. 113 did not have any effect on
the Company's results of operations.
(b)Regulatory and related GAAP reclassifications that took effect at the
beginning of 2001 pertained mostly to the recording of estimated premiums
due subsequent to each balance sheet date and had the approximate effect of
increasing accounts receivable by $110.9 million, deferred acquisition
costs by $15.7 million and unearned premiums by $110.9 million as of
December 31, 2001. These changes had no effect on the Company's net income
for 2001.
-8-
OLD REPUBLIC INTERNATIONAL CORPORATION AND SUBSIDIARIES
SCHEDULE III - SUPPLEMENTARY INSURANCE INFORMATION
For the years ended December 31, 2001, 2000 and 1999
($ 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 (b)
------------------------------------- ---------------- ---------------- ---------------- ---------------- ----------------
<s> <c> <c> <c> <c> <c>
Year Ended December 31, 2001:
-------------------------------------
Insurance Underwriting:
General Insurance Group $175,773 $748,096 $190,587 $114,929 $1,078,541
Mortgage Insurance Group 63,387 57,028 44,417 72,701 354,147
Title Insurance Group 22,750 25,163 --- 549,112 382,700
Life Insurance Group 7,625 30,248 8,376 14,802 46,475
Reinsurance Losses Recoverable (a) --- --- --- --- ---
---------------- ---------------- ---------------- ---------------- ----------------
Total Insurance Underwriting 269,536 860,537 243,380 751,544 1,861,864
Corporate 5,233 --- --- 14,040 ---
---------------- ---------------- ---------------- ---------------- ----------------
Consolidated $274,770 $860,537 $243,380 $765,584 $1,861,864
================ ================ ================ ================ ================
Year Ended December 31, 2000:
-------------------------------------
Insurance Underwriting:
General Insurance Group $179,864 $665,048 $172,552 $102,646 $885,090
Mortgage Insurance Group 56,811 49,645 45,518 60,099 335,484
Title Insurance Group 24,002 17,560 --- 460,823 307,611
Life Insurance Group 8,588 29,017 10,277 16,832 45,382
Reinsurance Losses Recoverable (a) --- --- --- --- ---
---------------- ---------------- ---------------- ---------------- ----------------
Total Insurance Underwriting 269,266 761,272 228,348 640,402 1,573,569
Corporate 4,727 --- --- 14,230 ---
---------------- ---------------- ---------------- ---------------- ----------------
Consolidated $273,994 $761,272 $228,348 $654,632 $1,573,569
================ ================ ================ ================ ================
Year Ended December 31, 1999:
-------------------------------------
Insurance Underwriting:
General Insurance Group $182,510 $707,869 $182,215 $93,406 $854,556
Mortgage Insurance Group 45,049 66,920 48,980 62,716 297,606
Title Insurance Group 22,388 27,937 --- 525,083 359,314
Life Insurance Group 8,655 30,346 8,917 19,724 58,331
Reinsurance Losses Recoverable (a) --- --- --- --- ---
---------------- ---------------- ---------------- ---------------- ----------------
Total Insurance Underwriting 258,603 833,073 240,114 700,931 1,569,809
Corporate 4,677 --- --- 10,999 ---
---------------- ---------------- ---------------- ---------------- ----------------
Consolidated $263,281 $833,073 $240,114 $711,931 $1,569,809
================ ================ ================ ================ ================
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 $1.3 billion at
December 31, 2001, 2000 and 1999. FAS No. 113 did not have any effect on
the Company's results of operations.
(b)Regulatory and related GAAP reclassifications that took effect at the
beginning of 2001 pertained mostly to the recording of estimated premiums
due subsequent to each balance sheet date and had the approximate effect of
increasing accounts receivable by $110.9 million, deferred acquisition
costs by $15.7 million and unearned premiums by $110.9 million as of
December 31, 2001. These changes had no effect on the Company's net income
for 2001.
-8-
OLD REPUBLIC INTERNATIONAL CORPORATION AND SUBSIDIARIES
SCHEDULE IV - REINSURANCE
For the years ended December 31, 2001, 2000 and 1999
($ 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, 2001:
- ---------------------------------------
Life insurance in force $ 11,575,791 $ 4,075,307 $ --- $ 7,500,484 ---%
================= ================ ================= ================= ===============
Premium Revenues:
General Insurance Group $ 1,282,223 $ 318,823 $ 36,891 $ 1,000,291 3.7%
Mortgage Insurance Group 390,905 38,485 768 353,188 0.2
Title Insurance Group 381,465 141 1,376 382,700 0.4
Life Insurance Group:
Life insurance 37,240 13,757 --- 23,482 ---
Accident and health insurance 44,732 17,544 4 27,191 ---
----------------- ---------------- ----------------- ----------------- ---------------
Total Life Insurance Group 81,972 31,302 4 50,674 ---
----------------- ---------------- ----------------- ----------------- ---------------
Consolidating adjustments --- (4) (4) --- ---
----------------- ---------------- ----------------- ----------------- ---------------
Consolidated $ 2,136,566 $ 388,748 $ 39,036 $ 1,786,854 2.2%
================= ================ ================= ================= ===============
Year Ended December 31, 2000:
- ---------------------------------------
Life insurance in force $ 11,800,529 $ 4,951,352 $ --- $ 6,849,177 ---%
================= ================ ================= ================= ===============
Premium Revenues:
General Insurance Group $ 1,084,463 $ 252,006 $ 25,382 $ 857,838 3.0%
Mortgage Insurance Group 359,039 29,478 1,929 331,490 0.6
Title Insurance Group 306,809 306 1,108 307,611 0.4
Life Insurance Group:
Life insurance 35,501 13,470 --- 22,031 ---
Accident and health insurance 45,296 13,899 3 31,400 ---
----------------- ---------------- ----------------- ----------------- ---------------
Total Life Insurance Group 80,797 27,369 3 53,431 ---
----------------- ---------------- ----------------- ----------------- ---------------
Consolidating adjustments --- (3) (3) --- ---
----------------- ---------------- ----------------- ---------------- ---------------
Consolidated $ 1,831,110 $ 309,158 $ 28,419 $ 1,550,371 1.8%
================= ================ ================= ================= ===============
Year Ended December 31, 1999:
- ---------------------------------------
Life insurance in force $ 12,735,315 $ 4,838,731 $ --- $ 7,896,584 ---%
================= ================ ================= ================= ===============
Premium Revenues:
General Insurance Group $ 1,060,157 $ 233,281 $ 26,621 $ 853,498 3.1%
Mortgage Insurance Group 317,812 18,017 551 300,346 0.2
Title Insurance Group 358,349 156 1,121 359,314 0.3
Life Insurance Group:
Life insurance 37,873 15,697 780 22,956 3.4
Accident and health insurance 44,316 13,131 (72) 31,113 (0.2)
----------------- ---------------- ----------------- ----------------- ---------------
Total Life Insurance Group 82,189 28,828 708 54,069 1.3
----------------- ---------------- ----------------- ----------------- ---------------
Consolidating adjustments --- (708) (708) --- ---
----------------- ---------------- ----------------- ----------------- ---------------
Consolidated $ 1,818,509 $ 279,574 $ 28,293 $ 1,567,229 1.8%
================= ================ ================= ================= ===============
-9-
OLD REPUBLIC INTERNATIONAL CORPORATION AND SUBSIDIARIES
SCHEDULE VI - SUPPLEMENTAL INFORMATION CONCERNING PROPERTY-CASUALTY INSURANCE OPERATIONS
For the years ended December 31, 2001, 2000 and 1999
($ 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 (c) Expenses Column C Premiums (c) Premiums Income
- -------------------------------------- -------------- ---------------- -------------- -------------- --------------- -------------
<s> <c> <c> <c> <c> <c> <c>
Year Ended December 31, 2001:
- --------------------------------------
(a) Consolidated property-casualty
entities (b) $80,227 $1,755,597 $151,353 $496,048 $1,000,291 $175,773
(b) Unconsolidated property-casualty
subsidiaries (a)
(c) Proportionate share of registrant
and its subsidiaries' 50%-or-less
owned property-casualty equity
investees (a)
-------------- ---------------- -------------- -------------- --------------- -------------
$80,227 $1,755,597 $151,353 $496,048 $1,000,291 $175,773
============== ================ ============== ============== =============== =============
Year Ended December 31, 2000:
- --------------------------------------
(a) Consolidated property-casualty
entities (b) $53,934 $1,734,650 $151,765 $307,227 $857,838 $179,864
(b) Unconsolidated property-casualty
subsidiaries (a)
(c) Proportionate share of registrant
and its subsidiaries' 50%-or-less
owned property-casualty equity
investees (a)
-------------- ---------------- -------------- -------------- --------------- -------------
$53,934 $1,734,650 $151,765 $307,227 $857,838 $179,864
============== ================ ============== ============== =============== =============
Year Ended December 31, 1999:
- --------------------------------------
(a) Consolidated property-casualty
entities (b) $51,370 $1,770,826 $154,425 $280,308 $853,498 $182,510
(b) Unconsolidated property-casualty
subsidiaries (a)
(c) Proportionate share of registrant
and its subsidiaries' 50%-or-less
owned property-casualty equity
investees (a)
-------------- ---------------- -------------- -------------- --------------- -------------
$51,370 $1,770,826 $154,425 $280,308 $853,498 $182,510
============== ================ ============== ============== =============== =============
Note:(a) These amounts are immaterial and have, therefore, been omitted from
this schedule.
(b) See note (a) to Schedule III.
(c) Regulatory and related GAAP reclassifications that took effect at the
beginning of 2001 pertained mostly to the recording of estimated
premiums due subsequent to each balance sheet date and had the
approximate effect of increasing accounts receivable by $110.9 million,
deferred acquisition costs by $15.7 million and unearned premiums by
$110.9 million as of December 31, 2001. These changes had no effect on
the Company's net income for 2001.
10
OLD REPUBLIC INTERNATIONAL CORPORATION AND SUBSIDIARIES
SCHEDULE VI - SUPPLEMENTAL INFORMATION CONCERNING PROPERTY-CASUALTY INSURANCE OPERATIONS
For the years ended December 31, 2001, 2000 and 1999
($ 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 (c)
- -------------------------------------- ------------- -------------- --------------- -------------- ---------------
<s> <c> <c> <c> <c> <c>
Year Ended December 31, 2001:
- --------------------------------------
(a) Consolidated property-casualty
entities (b) $793,115 ($44,537) $190,587 $727,630 $1,078,541
(b) Unconsolidated property-casualty
subsidiaries (a)
(c) Proportionate share of registrant
and its subsidiaries' 50%-or-less
owned property-casualty equity
investees (a)
-------------- ---------------- -------------- -------------- ---------------
$793,115 ($44,537) $190,587 $727,630 $1,078,541
============== ================ ============== ============== ===============
Year Ended December 31, 2000:
- --------------------------------------
(a) Consolidated property-casualty
entities (b) $730,744 ($66,606) $172,552 $700,311 $885,090
(b) Unconsolidated property-casualty
subsidiaries (a)
(c) Proportionate share of registrant
and its subsidiaries' 50%-or-less
owned property-casualty equity
investees (a)
-------------- ---------------- -------------- -------------- ---------------
$730,744 ($66,606) $172,552 $700,311 $885,090
============== ================ ============== ============== ===============
Year Ended December 31, 1999:
- --------------------------------------
(a) Consolidated property-casualty
entities (b) $771,117 ($66,384) $182,215 $749,075 $854,556
(b) Unconsolidated property-casualty
subsidiaries (a)
(c) Proportionate share of registrant
and its subsidiaries' 50%-or-less
owned property-casualty equity
investees (a)
-------------- ---------------- -------------- -------------- ---------------
$771,117 ($66,384) $182,215 $749,075 $854,556
============== ================ ============== ============== ===============
Note:(a) These amounts are immaterial and have, therefore, been omitted from
this schedule.
(b) See note (a) to Schedule III.
(c) Regulatory and related GAAP reclassifications that took effect at the
beginning of 2001 pertained mostly to the recording of estimated
premiums due subsequent to each balance sheet date and had the
approximate effect of increasing accounts receivable by $110.9 million,
deferred acquisition costs by $15.7 million and unearned premiums by
$110.9 million as of December 31, 2001. These changes had no effect on
the Company's net income for 2001.
-10-
Exhibit 28 Consolidated Schedule P
Schedule P - Part 3 OLD REPUBLIC INTERNATIONAL CORPORATION CONSOLIDATED - GRAND TOTAL - ($ in thousands)(a)
Premiums
were earned Allocated Unallocated
& Losses Premiums Loss Salvage Loss Expense Loss Expense
incurred Earned Payments Received Payments Ratio Payments Ratio
- -------------- ---------------- --------------- ------------ --------------- ----------- --------------- -----------
<s> <c> <c> <c> <c> <c> <c> <c>
Prior $6,258,492 $3,717,296 $203,629 $456,538 12.28% $149,533 4.02%
1992 815,871 421,414 19,218 47,855 11.36% 21,228 5.04%
1993 875,847 468,800 19,812 61,301 13.08% 26,527 5.66%
1994 867,630 466,302 21,196 62,800 13.47% 29,418 6.31%
1995 850,211 434,960 24,553 57,062 13.12% 32,630 7.50%
1996 846,760 483,720 27,516 61,711 12.76% 38,462 7.95%
1997 879,848 550,752 33,291 67,365 12.23% 40,064 7.27%
1998 867,430 544,420 35,919 54,815 10.07% 44,479 8.17%
1999 815,115 481,694 36,695 28,637 5.95% 56,791 11.79%
2000 812,907 354,585 25,814 19,834 5.59% 48,785 13.76%
2001 940,884 222,619 13,160 8,122 3.65% 34,494 15.49%
---------------- --------------- ------------ --------------- ----------- --------------- -----------
Totals $14,830,995 $8,146,562 $460,803 $926,040 11.37% $522,411 6.41%
================ =============== ============ =============== =========== =============== ===========
Premiums Total Loss
were earned Loss & Loss Unpaid & Loss
& Losses Expense # of Claims Unpaid Loss Expense 2001
incurred Payments Ratio Outstanding Losses Expense Incurred Ratio
- -------------- --------------- ----------- -------------- --------------- ------------ ---------------- -----------
<s> <c> <c> <c> <c> <c> <c> <c>
Prior $4,323,367 69.08% XXX $466,927 $48,302 $4,838,596 77.31%
1992 490,497 60.12% XXX 46,966 7,355 544,818 66.78%
1993 556,628 63.55% XXX 29,032 3,624 589,284 67.28%
1994 558,520 64.37% XXX 21,835 3,763 584,118 67.32%
1995 524,652 61.71% XXX 29,876 4,548 559,076 65.76%
1996 583,893 68.96% XXX 31,373 5,292 620,558 73.29%
1997 658,181 74.81% XXX 45,233 9,247 712,661 81.00%
1998 643,714 74.21% XXX 78,259 15,565 737,538 85.03%
1999 567,122 69.58% XXX 120,119 27,279 714,520 87.66%
2000 423,204 52.06% XXX 210,878 49,666 683,748 84.11%
2001 265,235 28.19% XXX 414,837 92,573 772,645 82.12%
--------------- ----------- -------------- --------------- ------------ ---------------- -----------
Totals $9,595,013 64.70% XXX $1,495,335 $267,214 $11,357,562 76.58%
=============== =========== ============== =============== ============ ================ ===========
(a) Prepared in accordance with the 2001 guidelines set by the NAIC.
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