EX-99.1 2 g17532exv99w1.htm EX-99.1 EX-99.1
Exhibit 99.1
FIDELITY NATIONAL FINANCIAL, INC.
Unaudited Summary of Earnings, Segment Information and Summary Balance
Sheet Information for the Three-Month and Twelve-Month Periods Ended
December 31, 2008 and 2007
FIDELITY NATIONAL FINANCIAL, INC.
SUMMARY OF EARNINGS
(In thousands, except per share amounts and order information)
                                 
    Three months ended     Twelve months ended  
    December 31,     December 31,  
    2008     2007     2008     2007  
    (Unaudited)     (Unaudited)  
Direct title premiums
  $ 227,896     $ 343,602     $ 1,140,266     $ 1,601,768  
Agency title premiums
    383,623       521,084       1,554,743       2,198,690  
 
                       
Total title premiums
    611,519       864,686       2,695,009       3,800,458  
Escrow, title-related and other fees
    291,467       295,935       1,148,539       1,132,415  
 
                       
Total title and escrow
    902,986       1,160,621       3,843,548       4,932,873  
 
                               
Specialty insurance
    94,502       88,854       373,392       386,427  
Interest and investment income
    31,419       44,403       134,370       185,417  
Realized gains and losses
    (4,062 )     6,009       (19,824 )     18,458  
 
                       
Total revenue
    1,024,845       1,299,887       4,331,486       5,523,175  
 
                               
Personnel costs
    289,904       385,240       1,355,845       1,700,935  
Other operating expenses
    297,599       294,848       1,194,377       1,109,438  
Agent commissions
    306,352       399,875       1,218,044       1,698,215  
Depreciation and amortization
    34,449       37,198       141,128       130,092  
Claim loss expense
    82,808       240,381       630,404       653,876  
Interest expense
    14,416       17,747       65,351       54,941  
 
                       
Total expenses
    1,025,528       1,375,289       4,605,149       5,347,497  
 
                               
Earnings (loss) before income taxes
    (683 )     (75,402 )     (273,663 )     175,678  
Income tax expense
    (5,529 )     (34,665 )     (117,675 )     46,776  
 
                       
Earnings (loss) before equity investments and minority interest
    4,846       (40,737 )     (155,988 )     128,902  
 
                               
Earnings (loss) from equity investments
    (5,990 )     (3,785 )     (13,375 )     835  
Minority interest
    513       415       (3,574 )     (32 )
 
                       
 
                               
Net earnings (loss)
  $ (1,657 )   $ (44,937 )   $ (165,789 )   $ 129,769  
 
                       
 
                               
Net earnings (loss) per share — basic
  $ (0.01 )   $ (0.21 )   $ (0.79 )   $ 0.60  
 
                       
Net (loss) earnings per share — diluted
  $ (0.01 )   $ (0.21 )   $ (0.79 )   $ 0.59  
 
                       
 
                               
Weighted average shares — basic
    209,283       212,363       209,974       216,583  
 
                       
Weighted average shares — diluted
    209,283       212,363       209,974       219,989  
 
                       
 
                               
Direct operations orders opened
    428,200       462,000       1,860,400       2,259,800  
Direct operations orders closed
    245,200       296,600       1,121,200       1,434,800  
Fee per file
  $ 1,455     $ 1,693     $ 1,503     $ 1,635  
Actual title claims paid
  $ 50,331     $ 95,450     $ 278,162     $ 303,061  

 


 

FIDELITY NATIONAL FINANCIAL, INC.
SEGMENT INFORMATION
(In thousands)
(Unaudited)
                                   
Three Months Ended                     Specialty   Corporate
December 31, 2008   Consolidated     FNT   Insurance   and Other
Gross operating revenue
  $ 997,488       $ 872,614     $ 94,502     $ 30,372  
Interest and investment income
    31,419         28,978       2,662       (221 )
Realized gains and losses
    (4,062 )       (2,975 )     102       (1,189 )
           
Total revenue
    1,024,845         898,617       97,266       28,962  
 
                                 
Personnel costs
    289,904         266,865       10,775       12,264  
Other operating expenses
    297,599         238,279       37,088       22,232  
Agent commissions
    306,352         306,352              
Depreciation and amortization
    34,449         27,319       671       6,459  
Claim loss expense
    82,808         52,251       30,557        
Interest expense
    14,416         581       24       13,811  
           
Total expenses
    1,025,528         891,647       79,115       54,766  
 
                                 
Earnings (loss) before income taxes
    (683 )       6,970       18,151       (25,804 )
Income tax expense
    (5,529 )       (97 )     3,915       (9,347 )
           
Earnings (loss) before equity investments and minority interest
    4,846         7,067       14,236       (16,457 )
Earnings (loss) from equity investments
    (5,990 )       (1,910 )           (4,080 )
Minority interest
    513         959             (446 )
           
 
                                 
Net earnings (loss)
  $ (1,657 )     $ 4,198     $ 14,236     $ (20,091 )
           
Open orders
    428,200         428,200              
Closed orders
    245,200         245,200              
                                   
Three Months Ended                     Specialty   Corporate
December 31, 2007   Consolidated     FNT   Insurance   and Other
Gross operating revenue
  $ 1,249,475       $ 1,129,064     $ 88,854     $ 31,557  
Interest and investment income
    44,403         39,691       3,979       733  
Realized gains and losses
    6,009         2,934       26       3,049  
           
Total revenue
    1,299,887         1,171,689       92,859       35,339  
 
                                 
Personnel costs
    385,240         358,216       11,252       15,772  
Other operating expenses
    294,848         242,466       36,484       15,898  
Agent commissions
    399,875         399,875              
Depreciation and amortization
    37,198         33,545       1,623       2,030  
Claim loss expense
    240,381         200,588       39,793        
Interest expense
    17,747         3,382       281       14,084  
           
Total expenses
    1,375,289         1,238,072       89,433       47,784  
 
                                 
Earnings (loss) before income taxes
    (75,402 )       (66,383 )     3,426       (12,445 )
Income tax expense
    (34,665 )       (30,925 )     1,165       (4,905 )
           
Earnings (loss) before equity investments and minority interest
    (40,737 )       (35,458 )     2,261       (7,540 )
Earnings from equity investments
    (3,785 )       520             (4,305 )
Minority interest
    415         1,534             (1,119 )
           
 
                                 
Net earnings (loss)
  $ (44,937 )     $ (36,472 )   $ 2,261     $ (10,726 )
           
Open orders
    462,000         462,000              
Closed orders
    296,600         296,600              

 


 

FIDELITY NATIONAL FINANCIAL, INC.
SEGMENT INFORMATION
(In thousands)
(Unaudited)
                                   
Twelve Months Ended                     Specialty   Corporate
December 31, 2008   Consolidated     FNT   Insurance   and Other
Gross operating revenue
  $ 4,216,940       $ 3,729,259     $ 373,392     $ 114,289  
Interest and investment income
    134,370         120,157       12,929       1,284  
Realized gains and losses
    (19,824 )       (30,498 )     (3,007 )     13,681  
           
Total revenue
    4,331,486         3,818,918       383,314       129,254  
 
                                 
Personnel costs
    1,355,845         1,253,563       45,228       57,054  
Other operating expenses
    1,194,377         950,006       158,269       86,102  
Agent commissions
    1,218,044         1,218,044              
Depreciation and amortization
    141,128         114,989       4,896       21,243  
Claim loss expense
    630,404         490,952       139,452        
Interest expense
    65,351         5,657       487       59,207  
           
Total expenses
    4,605,149         4,033,211       348,332       223,606  
 
                                 
Earnings (loss) before income taxes
    (273,663 )       (214,293 )     34,982       (94,352 )
Income tax expense
    (117,675 )       (87,408 )     11,658       (41,925 )
           
Earnings (loss) before equity investments and minority interest
    (155,988 )       (126,885 )     23,324       (52,427 )
Earnings (loss) from equity investments
    (13,375 )       1,073             (14,448 )
Minority interest
    (3,574 )       1,518             (5,092 )
           
 
                                 
Net earnings (loss)
  $ (165,789 )     $ (127,330 )   $ 23,324     $ (61,783 )
           
Open orders
    1,860,400         1,860,400              
Closed orders
    1,121,200         1,121,200              
                                   
Twelve Months Ended                     Specialty   Corporate
December 31, 2007   Consolidated     FNT   Insurance   and Other
Gross operating revenue
  $ 5,319,300       $ 4,835,032     $ 386,427     $ 97,841  
Interest and investment income
    185,417         164,874       16,231       4,312  
Realized gains and losses
    18,458         5,080       23       13,355  
           
Total revenue
    5,523,175         5,004,986       402,681       115,508  
 
                                 
Personnel costs
    1,700,935         1,594,516       45,499       60,920  
Other operating expenses
    1,109,438         891,838       144,992       72,608  
Agent commissions
    1,698,215         1,698,085             130  
Depreciation and amortization
    130,092         120,223       6,046       3,823  
Claim loss expense
    653,876         502,250       151,626        
Interest expense
    54,941         14,597       1,478       38,866  
           
Total expenses
    5,347,497         4,821,509       349,641       176,347  
 
                                 
Earnings (loss) before income taxes
    175,678         183,477       53,040       (60,839 )
Income tax expense
    46,776         49,275       19,271       (21,770 )
           
Earnings (loss) before equity investments and minority interest
    128,902         134,202       33,769       (39,069 )
Earnings from equity investments
    835         2,467             (1,632 )
Minority interest
    (32 )       2,889             (2,921 )
           
 
                                 
Net earnings (loss)
  $ 129,769       $ 133,780     $ 33,769     $ (37,780 )
           
Open orders
    2,259,800         2,259,800              
Closed orders
    1,434,800         1,434,800              

 


 

FIDELITY NATIONAL FINANCIAL, INC.
SUMMARY BALANCE SHEET INFORMATION
(In thousands, except per share amounts)
                 
    December 31,   December 31,
    2008*   2007
    (unaudited)        
Cash and investment portfolio
  $ 4,705,227     $ 4,671,383  
Goodwill
    1,355,250       1,339,705  
Title Plant
    427,971       331,888  
Total assets
    8,257,116       7,587,853  
Notes payable
    1,350,849       1,167,739  
Reserve for claim losses
    2,607,180       1,419,910  
Secured trust deposits
    474,073       689,935  
Total stockholders’ equity
    2,816,842       3,244,088  
Book value per share
    13.11       15.23  
 
*   Balance sheet amounts are preliminary and may change subject to the completion of the purchase accounting analysis for the acquisition of Commonwealth Land Title, Lawyers Title and United Capital Title
###