CHICAGO–(BUSINESS WIRE)–June 17, 1999–Unitrin, Inc. (Nasdaq: UNIT) announced today that it has completed its acquisition of Valley Group, Inc. for a cash payment of approximately $139 million. Immediately prior to the closing, Valley Group paid a special cash dividend to its former parent company, White Mountains Insurance Group, Inc. of approximately $77 million.
Valley’s principal subsidiaries are Valley Insurance Company of Albany, Oregon, Charter Indemnity Company of Dallas, Texas and White Mountains Insurance Company of Manchester, New Hampshire. The group writes personal and commercial lines property and casualty insurance, primarily in the Pacific Northwest, California, Texas and New England. In 1998, Valley Group had consolidated premium revenues of approximately $161 million. Unitrin’s Property and Casualty Insurance Group, based in Dallas, Texas, had premium revenues of $648 million in 1998.
Unitrin’s subsidiaries are engaged in property and casualty insurance, life and health insurance and consumer finance and had consolidated gross revenues in 1998 of approximately $2 billion.
Richard C. Vie, Unitrin’s Chairman and Chief Executive Officer, said that “We are extremely pleased to have the Valley Group of companies and their employees join the Unitrin family. Valley Group and its strong agency force bring a fine reputation in their markets and will solidify the presence of our Property and Casualty Group in a number of states, including Texas and the Pacific Northwest.”
Scott Renwick, 312/661-4930
KEYWORD: ILLINOIS TEXAS NEW HAMPSHIRE OREGON
INDUSTRY KEYWORD: INSURANCE MERGERS/ACQ