Business Segments

3 Months Ended

Mar. 31, 2012

Segment Reporting

Segment Reporting Disclosure [Text Block]

7)       Business Segments

Description of Products and Services by Segment

The Company has three reportable business segments: life insurance, cemetery and mortuary, and mortgage. The Company’s life insurance segment consists of life insurance premiums and operating expenses from the sale of insurance products sold by the Company’s independent agency force and net investment income derived from investing policyholder and segment surplus funds. The Company’s cemetery and mortuary segment consists of revenues and operating expenses from the sale of at-need cemetery and mortuary merchandise and services at its mortuaries and cemeteries, pre-need sales of cemetery spaces after collection of 10% or more of the purchase price and the net investment income from investing segment surplus funds. The Company’s mortgage loan segment consists of loan originations fee income and expenses from the originations of residential and commercial mortgage loans and interest earned and interest expenses from warehousing pre-sold loans before the funds are received from financial institutional investors.

Measurement of Segment Profit or Loss and Segment Assets

The accounting policies of the reportable segments are the same as those described in the Significant Accounting Principles of the form 10K for the year ended December 31, 2011. Intersegment revenues are recorded at cost plus an agreed upon intercompany profit, and are eliminated upon consolidation.

Factors Management Used to Identify the Enterprise’s Reportable Segments

The Company’s reportable segments are business units that offer different products and are managed separately due to the different products and the need to report to the various regulatory jurisdictions.

	Life Insurance		Cemetery/ Mortuary		Mortgage			Reconciling Items			Consolidated
For the Three Months Ended
March 31, 2012
Revenues from external customers	$	17,627,349	$	2,959,640	$	26,736,234		$	-		$	47,323,223
Intersegment revenues		2,079,099		376,993		75,407			(2,531,499	)		-
Segment profit (loss) before income taxes		837,564		226,555		1,264,473			-			2,328,592
Identifiable Assets		500,893,911		112,061,353		31,680,160			(119,825,702	)		524,809,722
Goodwill		391,848		285,191		-			-			677,039
For the Three Months Ended
March 31, 2011
Revenues from external customers	$	17,148,321	$	3,033,086	$	13,990,773		$	-		$	34,172,180
Intersegment revenues		2,066,712		468,025		60,337			(2,595,074	)		-
Segment profit (loss) before income taxes		1,079,479		151,624		(2,553,685	)		-			(1,322,582	)
Identifiable Assets		471,629,809		110,839,889		27,621,213			(119,373,276	)		490,717,635
Goodwill		391,848		683,191		-			-			1,075,039