-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, D9UyXZsAKpuVcU6jORAzriYO3N6Aq2VnkBNKvJDb7eoxntUm3lPl7K8TM4xdDkNG leJbpGdm5Q7xRKZS+UK8jw== /in/edgar/work/0000898430-00-003447/0000898430-00-003447.txt : 20001115 0000898430-00-003447.hdr.sgml : 20001115 ACCESSION NUMBER: 0000898430-00-003447 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20000930 FILED AS OF DATE: 20001114 FILER: COMPANY DATA: COMPANY CONFORMED NAME: MERCURY GENERAL CORP CENTRAL INDEX KEY: 0000064996 STANDARD INDUSTRIAL CLASSIFICATION: [6331 ] IRS NUMBER: 952211612 STATE OF INCORPORATION: CA FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: SEC FILE NUMBER: 001-12257 FILM NUMBER: 765273 BUSINESS ADDRESS: STREET 1: 4484 WILSHIRE BOULEVARD CITY: LOS ANGELES STATE: CA ZIP: 90010 BUSINESS PHONE: 2139371060 MAIL ADDRESS: STREET 1: LOS ANGELES 10-Q 1 0001.txt FORM 10-Q SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10Q QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarter September 30, 2000 Commission File No. 0-3681 MERCURY GENERAL CORPORATION (Exact name of registrant as specified in its charter) California 95-221-1612 (State or other jurisdiction (I.R.S. Employer of incorporation or organization) Identification No.) 4484 Wilshire Boulevard, Los Angeles, California 90010 (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code: (323) 937-1060 Indicate by check mark whether the Registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes X No_____ ----- At October 27, 2000, the Registrant had issued and outstanding an aggregate of 54,129,923 shares of its Common Stock. PART 1 - FINANCIAL INFORMATION Item 1. - Financial Statements MERCURY GENERAL CORPORATION AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS (UNAUDITED) AMOUNTS EXPRESSED IN THOUSANDS, except share amounts A S S E T S
September 30, December 31, 2000 1999 ---- ---- Investments: Fixed maturities available for sale (amortized cost $1,451,905 in 2000 and $1,353,765 in 1999)........... $1,459,758 $1,322,054 Equity securities available for sale (cost $245,694 in 2000 and $238,856 in 1999)........................ 235,009 209,843 Short-term cash investments, at cost, which approximates market.................................. 53,322 43,568 ---------- ---------- Total investments.......................... 1,748,089 1,575,465 Cash..................................................... 6,216 8,052 Receivables: Premiums receivable................................... 122,371 115,654 Premium notes......................................... 14,651 13,375 Accrued investment income............................. 24,944 23,815 Other................................................. 39,677 19,235 ---------- ---------- 201,643 172,079 Deferred policy acquisition costs........................ 68,329 63,975 Fixed assets, net........................................ 33,950 34,221 Current income taxes..................................... -0- 1,796 Deferred income taxes.................................... 9,401 28,541 Other assets............................................. 40,373 22,238 ---------- ---------- Total assets $2,108,001 $1,906,367 ========== ==========
LIABILITIES AND SHAREHOLDERS' EQUITY
Losses and loss adjustment expenses........................ $ 477,635 $ 434,843 Unearned premiums.......................................... 372,076 340,846 Notes payable.............................................. 112,889 92,000 Loss drafts payable........................................ 46,229 40,063 Accounts payable and accrued expenses...................... 54,992 53,121 Current income taxes....................................... 5,128 -0- Other liabilities.......................................... 53,586 35,903 ---------- -------- Total liabilities............................ 1,122,535 996,776 ---------- -------- Shareholders' equity: Common stock without par value or stated value. Authorized 70,000,000 shares; issued and outstanding 54,128,923 shares in 2000 and 54,425,323 shares in 1999.................................................. 50,701 50,963 Accumulated other comprehensive loss.................... (1,841) (39,471) Unearned ESOP compensation.............................. (2,250) (3,000) Retained earnings....................................... 938,856 901,099 ---------- -------- Total shareholders' equity.................... 985,466 909,591 ---------- -------- Commitments and contingencies........................... $2,108,001 $1,906,367 ========== ==========
2 MERCURY GENERAL CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF INCOME (Unaudited) Three Months Ended September 30, Amounts expressed in thousands, except per share data
2000 1999 ---- ---- Revenues: Earned premiums $315,108 $300,070 Net investment income 26,865 24,834 Net realized investment gains (losses) 625 (6,795) Other 538 1,224 -------- -------- Total revenues 343,136 319,333 -------- -------- Expenses: Losses and loss adjustment expenses 226,706 205,412 Policy acquisition costs 68,002 67,217 Other operating expenses 14,546 12,033 Interest 1,837 1,215 -------- -------- Total expenses 311,091 285,877 -------- -------- Income before income taxes 32,045 33,456 Income taxes 4,624 5,760 -------- -------- Net income $ 27,421 $ 27,696 ======== ======== BASIC EARNINGS PER SHARE (average shares outstanding 54,074,298 in 2000 and 54,633,375 in 1999) $ 0.51 $ 0.51 ======== ======== DILUTED EARNINGS PER SHARE (adjusted weighted average shares 54,223,764 in 2000 and 54,818,300 in 1999) $ 0.51 $ 0.51 ======== ======== Dividends declared per share $ 0.24 $ 0.21 ======== ========
3 MERCURY GENERAL CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF INCOME (Unaudited) Nine Months Ended September 30, Amounts expressed in thousands, except per share data
2000 1999 ---- ---- Revenues: Earned premiums $ 931,950 $886,522 Net investment income 78,536 73,942 Net realized investment gains (losses) 2,784 (8,189) Other 4,383 3,501 ---------- -------- Total revenues 1,017,653 955,776 ---------- -------- Expenses: Losses and loss adjustment expenses 664,609 586,523 Policy acquisition costs 204,768 200,598 Other operating expenses 44,742 38,045 Interest 5,219 3,584 ---------- -------- Total expenses 919,338 828,750 ---------- -------- Income before income taxes 98,315 127,026 Income taxes 14,954 26,325 ---------- -------- Net income $ 83,361 $100,701 ========== ======== BASIC EARNINGS PER SHARE (average shares outstanding 54,098,916 in 2000 and 54,615,320 in 1999) $ 1.54 $ 1.84 ========== ======== DILUTED EARNINGS PER SHARE (adjusted weighted average shares 54,230,720 in 2000 and 54,833,838 in 1999) $ 1.54 $ 1.84 ========== ======== Dividends declared per share $ 0.72 $ 0.63 ========== ========
4 MERCURY GENERAL CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) Three Months Ended September 30 Amounts expressed in thousands
2000 1999 ---- ---- Net income $27,421 $ 27,696 Other comprehensive income (loss), before tax: Unrealized gains (losses) on securities: Unrealized holding gains (losses) arising during period 32,408 (46,364) Less: reclassification adjustment for net (gains) losses included in net income (42) 6,076 ------- -------- Other comprehensive income (loss), before tax 32,366 (40,288) Income tax expense (benefit) related to unrealized holding gains (losses) arising during period 11,342 (16,227) Income tax expense (benefit) related to reclassi- fication adjustment for (gains) losses included in net income (14) 2,126 ------- -------- Comprehensive income, net of tax $48,459 $ 1,509 ======= ========
5 MERCURY GENERAL CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Unaudited) Nine Months Ended September 30, Amounts expressed in thousands
2000 1999 ---- ---- Net income $ 83,361 $100,701 Other comprehensive income (loss), before tax: Unrealized gains (losses) on securities: Unrealized holding gains (losses) arising during period 59,130 (99,361) Less: reclassification adjustment for net (gains) losses included in net income (1,238) 6,064 -------- -------- Other comprehensive income (loss), before tax 57,892 (93,297) Income tax expense (benefit) related to unrealized holding gains (losses) arising during period 20,695 (34,776) Income tax expense (benefit) related to reclassi- fication adjustment for (gains) losses included in net income (433) 2,122 -------- -------- Comprehensive income, net of tax $120,991 $ 40,058 ======== ========
6 MERCURY GENERAL CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) NINE MONTHS ENDED SEPTEMBER 30, Amounts expressed in thousands
2000 1999 ---- ---- Cash flows from operating activities: Net income $ 83,361 $ 100,701 Adjustments to reconcile net income to net cash provided from operating activities: Increase in unpaid losses and loss adjustment expenses 27,134 21,196 Increase in unearned premiums 21,886 18,120 (Increase) decrease in premium notes receivable (1,276) 150 Increase in premiums receivable (6,717) (8,714) Increase in deferred policy acquisition costs (4,354) (3,170) Increase in loss drafts payable 6,166 3,052 (Decrease) increase in accrued income taxes, excluding deferred tax on change in unrealized gain 5,802 (3,181) Increase in accounts payable and accrued expenses 1,871 6,903 Depreciation 5,039 4,863 Net realized investment (gains) losses (2,784) 8,189 Bond accretion, net (5,201) (3,795) Other, net 8,455 14,240 --------- --------- Net cash provided from operating activities 139,382 158,554 Cash flows from investing activities: Fixed maturities available for sale: Purchases (231,627) (163,182) Sales 94,945 48,435 Calls or maturities 44,142 44,644 Equity securities available for sale: Purchases (62,334) (444,280) Sales 57,879 412,893 Cash acquired in Elm County Mutual Insurance Company transaction 1,862 -0- Increase in payable for securities 6,440 4,431 Increase in short-term cash investments, net (9,754) (12,161) Purchase of fixed assets (5,044) (7,534) Sale of fixed assets 827 778 --------- --------- Net cash used in investing activities $(102,664) $(115,976)
(Continued) 7 MERCURY GENERAL CORPORATION AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS (Continued)
2000 1999 ---- ---- Cash flows from financing activities: Additions to notes payable $ 8,000 $ -0- Dividends paid to shareholders $(38,920) $(34,407) Proceeds from stock options exercised 345 649 Purchase and retirement of common stock (6,979) (1,850) Net decrease in ESOP loan (1,000) (1,000) -------- -------- Net cash used in financing activities (38,554) (36,608) Net (decrease) increase in cash (1,836) 5,970 Cash: Beginning of the year 8,052 1,887 -------- -------- End of the year $ 6,216 $ 7,857 ======== ======== Supplemental disclosures of cash flow information: Interest paid during the period $ 5,642 $ 3,616 Income taxes paid during the period $ 9,323 $ 29,355 Non-Cash investing and financing transactions: Notes payable issued in exchange for right to manage and control Elm County Mutual Insurance Company $ 12,889 $ -0-
8 MERCURY GENERAL CORPORATION & SUBSIDIARIES NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS 1. Basis of Presentation --------------------- The financial data included herein have been prepared by the Company, without audit. In the opinion of management, all adjustments of a normal recurring nature necessary to present fairly the Company's financial position at September 30, 2000 and the results of operations, comprehensive income and cash flows for the periods presented have been made. Operating results for the three and nine months ended September 30, 2000, are not necessarily indicative of the results that may be expected for the year ending December 31, 2000. This interim information should be read in conjunction with the financial statements and notes thereto included in the Company's latest annual report on Form 10-K. 2. ELM County Mutual Insurance Company Transaction ----------------------------------------------- Effective September 29, 2000, the Company completed a transaction with Employers Reinsurance Corporation purchasing the authority and right to manage and control Elm County Mutual Insurance Company (ELM). The consolidated balance sheet as of September 30, 2000 includes the balance sheet of ELM. Had ELM been combined at the beginning of the reporting period and its results of operations included in the consolidated statements of income, the effect on revenues, net income and net income per share would have been immaterial. The Company plans to write Texas automobile risks that are currently placed through third-party Texas county mutual insurers and 100% reinsured by the Company, directly with ELM. Risks produced by the Company that are written directly through ELM will be 100% ceded to affiliated Mercury companies. The ELM transaction was accounted for using the purchase method of accounting and resulted in an immaterial amount of goodwill that will be amortized using the straight-line method over a ten-year period. Item 2. Management's Discussion and Analysis of Financial Condition and --------------------------------------------------------------- Results of Operations --------------------- General - ------- The Company is engaged primarily in writing all risk classifications of automobile insurance in California, which in 1999 accounted for approximately 89% of the Company's direct premiums written. Since 1990, the Company has also written small amounts of automobile insurance in Georgia and Illinois. In December 1996 the Company acquired the American Mercury Insurance Group (formerly named American Fidelity Insurance Group) which was licensed in 36 states but writes automobile and mechanical breakdown insurance predominantly in Oklahoma and Texas. During 1998, the Company began writing private passenger automobile coverage in Florida. In January 2000, the Company began assuming automobile risks in the state of Texas on business produced by Concord Insurance Services, Inc., a controlled entity. Certain statements in this report on Form 10-Q that are not historical fact constitute "Forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks, uncertainties and other 9 factors which may cause the actual results of the Company to be materially different from historical results or from any results expressed or implied by such forward-looking statements. Factors that could cause or contribute to such differences include, among others, the intense competition currently existing in the California automobile insurance markets, the success of the Company in integrating and profitably operating the business of AMI and in expanding generally in Florida, Texas and other states outside of California, the impact of potential third party "bad-faith" legislation, the use of territories in establishing rates, the ability of the Company to obtain the approval of the California Insurance Commissioner for premium rate changes for private passenger automobile policies issued in California and to obtain similar rate approvals in other states and the level of investment yields obtainable in the Company's investment portfolio in comparison to recent yields, as well as the cyclical and general competitive nature of the property and casualty insurance industry and general uncertainties regarding loss reserve estimates and legislative and regulatory changes, particularly in California. Results of Operations - --------------------- Three Months Ended September 30, 2000 compared to Three Months Ended September 30, 1999 Premiums earned in the third quarter of 2000 increased 5.0% from the corresponding period in 1999. Net premiums written in the third quarter of 2000 increased 4.4% from the corresponding period in 1999. Contributing to the overall third quarter 2000 premiums written growth were initial automobile premiums in Texas from the recent Concord agency transaction, and increases in California homeowner premiums, California non-standard automobile premiums and Florida automobile premiums. California premiums written, representing 88% of the Company's total premiums, grew approximately 1.6% in the third quarter of 2000 compared to an increase of 4.4% for all of 1999. California private passenger automobile policies inforce decreased slightly during the third quarter of 2000. The automobile insurance marketplace remains intensely competitive, particularly in California. The loss ratio in the third quarter (loss and loss adjustment expenses related to premiums earned) was 71.9%, compared with 68.5% in 1999. The higher loss ratio in 2000, as compared to 1999, was primarily due to increased severity recorded on California automobile claims and unfavorable loss results from the Texas operations. Partially offsetting this was improved results in Florida and American Mercury Insurance Company. The expense ratio (policy acquisition costs and other expenses related to premiums earned) in 2000 was 26.2% compared to 26.4% in 1999. The combined ratio of losses and expenses (GAAP basis) was 98.1% in 2000 compared with 94.9% in 1999, resulting in an underwriting gain for the period of $5.9 million, compared with $15.4 million in 1999. Investment income for the third quarter was $26.9 million, compared with $24.8 million in the third quarter of 1999. The after-tax yield on average investments of $1,731.1 million (fixed maturities and equities valued at cost) was 5.56% compared with 5.49% on average investments of $1,624.6 million in 1999. Realized investment gains before income taxes were $0.6 million compared with realized 10 losses of $6.8 million in the third quarter of 1999. Approximately $6.0 million of the loss in 1999 was related to a permanent impairment in the value of one preferred stock investment. The income tax provision in the third quarter of 2000 of $4.6 million represented an effective tax rate of 14.4%, compared with an effective rate of 17.2% in 1999. The lower effective rate is principally attributable to the larger proportion of pre-tax income derived from tax-exempt investment income as compared to fully taxable underwriting gain and taxable investment income. Net income for the third quarter of $27.4 million, or $.51 per share (diluted), compares with $27.7 million or $.51 per share (diluted) in 1999. Basic net income per share was $.51 in 2000 and $.51 in 1999. Other comprehensive income represents the change in the unrealized gains and losses on the Company's investments occurring during the period. Other comprehensive income for the third quarter of $32.4 million compares with other comprehensive losses of $40.3 million in 1999. The gains were primarily the result of decreased market interest rates which increased the value of the Company's investment portfolio. Nine Months ended September 30, 2000 compared to Nine Months ended September 30, 1999 Premiums earned in the nine months of 2000 increased 5.1% from the corresponding period in 1999. Net premiums written in the nine months of 2000 increased 5.3% from the corresponding period in 1999. Contributing to the overall nine months of 2000 premiums written growth were initial automobile premiums in Texas from the recent Concord agency transaction and increases in California homeowners premiums, California non-standard automobile premiums and Florida automobile premiums. California premiums written, representing 89% of the Company's total premiums, grew approximately 2.8% in the nine months of 2000 compared to an increase of 4.4% for all of 1999. California private passenger automobile policies inforce decreased slightly during the first nine months of 2000. The automobile insurance marketplace remains intensely competitive, particularly in California. The loss ratio in the nine months of 2000 (loss and loss adjustment expenses related to premiums earned) was 71.3%, compared with 66.2% in 1999. The higher loss ratio in 2000, as compared to 1999, was primarily due to increased severity recorded on California automobile claims and poor loss experience in our Texas and Illinois operations. Partially offsetting this is improved loss experience in our American Mercury and Florida operations. The expense ratio (policy acquisition costs and other expenses related to premiums earned) in 2000 was 26.8% compared to 26.9% in 1999. The combined ratio of losses and expenses (GAAP basis) was 98.1% in 2000 compared with 93.1% in 1999, resulting in an underwriting gain for the period of $17.8 million, compared with $61.4 million in 1999. Investment income for the nine months of 2000 was $78.5 million, compared with $73.9 million in the nine months of 1999. The after-tax yield on average investments of $1,696.7 million (fixed maturities and equities valued at cost), was 5.55% compared with 5.61% on average investments of $1,583.0 million in 1999. 11 Realized investment gains before income taxes were $2.8 million compared with realized losses of $8.2 million in the nine months of 1999. Approximately $6.0 million of the loss in 1999 was related to a permanent impairment in the value of one preferred stock investment. The income tax provision in the nine months of 2000 of $15.0 million represented an effective tax rate of 15.2%, compared with an effective rate of 20.7% in 1999. The lower effective rate is principally attributable to a larger proportion of pre-tax income derived from tax-exempt investment income as compared to fully taxable underwriting gain and taxable investment income. Net income for the nine months of $83.4 million, or $1.54 per share (diluted), compares with $100.7 million or $1.84 per share (diluted) in 1999. Basic net income per share was $1.54 in 2000 and $1.84 in 1999. Other comprehensive income represents the change in the unrealized gains and losses on the Company's investments occurring during the period. Other comprehensive income for the nine months of 2000 of $57.9 million compares with other comprehensive losses of $93.3 million in 1999. The gains were primarily the result of decreased market interest rates which increased the value of the Company's investment portfolio. Liquidity and Capital Resources - ------------------------------- Net cash provided from operating activities during the nine months of 2000 was $139.4 million, while funds derived from the sale, call or maturity of investments was $197.0 million, of which approximately 29% was represented by the sale of equities. Fixed-maturity investments, at amortized cost, increased by $98.1 million during the period. Equity investments, including perpetual preferred stocks, increased by $6.8 million at cost, and short-term cash investments increased by $9.8 million. The amortized cost of fixed-maturities available for sale which were sold or called during the period was $131.7 million. The market value of all investments (fixed-maturities and equities) held at market as "Available for Sale" was less than amortized cost of $1,697.6 million at September 30, 2000 by $2.8 million. That unrealized loss, reflected as accumulated other comprehensive loss in shareholders' equity net of applicable tax effects, was $1.8 million at September 30, 2000 compared with an unrealized loss of $39.5 million at December 31, 1999. The Company's cash and short term investments totaled $59.5 million at September 30, 2000, of which $3 million is restricted. Together with funds generated internally, such liquid assets are more than adequate to pay claims without the forced sale of investments. In October 2000, the Company obtained a $30 million 364 day credit facility through the Bank of America. This credit facility replaces an expiring credit facility of $100 million that was through a consortium of banks led by the Bank of New York. As of October 31, 2000, the Company has drawn on $27 million of the $30 million Bank of America credit facility. The Company's notes payable increased by $20.9 million during 2000. The proceeds from the increased borrowings were used for the ELM transaction, the Company's stock buyback program and for general corporate purposes. At September 30, 2000, $1.5 million of the Company's notes payable are due within one year. It has been the Company's policy not to invest in high yield or "junk" bonds. 12 Approximately 1.0% of total fixed maturities at September 30, 2000 were rated below investment grade. The average rating of the $1,432.0 million bond portfolio (at amortized cost) was AA-, while the average effective maturity approximates 9.9 years. The modified duration of the bond portfolio approximates 6.8 years. Bond holdings are broadly diversified geographically, and, within the tax-exempt sector, consist largely of revenue issues, including housing bonds subject to sinking funds and special par calls, and other issues, many of which have been pre-refunded and escrowed with U.S. Treasuries. General obligation bonds of the large eastern cities have generally been avoided. Holdings in the taxable sector consist principally of senior public utility issues. Fixed- maturity investments of $1,451.9 million (at cost) include $19.9 million of sinking fund preferreds, principally utility issues. Except for Company-occupied buildings, the Company has no direct investments in real estate and no holdings of mortgages secured by commercial real estate. Equity holdings of $235.0 million at market (cost $245.7 million), including perpetual preferred issues, are largely confined to the public utility, financial and banking sectors and represents 24.9% (at cost) of total shareholders' equity. As of September 30, 2000, the Company had no material commitments for capital expenditures. Industry and regulatory guidelines suggest that the ratio of a property and casualty insurer's annual net premiums written to statutory policyholders' surplus should not exceed 3 to 1. Based on the combined surplus of all of the licensed insurance subsidiaries of $902.5 million at September 30, 2000 and net written premiums for the twelve months ended on that date of $1,254.5 million, the ratio of writings to surplus was approximately 1.4 to 1. Item 3. Quantitative and Qualitative Disclosures About Market Risk ---------------------------------------------------------- There have been no material changes in the Company's investment strategies, types of financial instruments held or the risks associated with such instruments which would materially alter the market risk disclosures made in the Company's Annual Statement on Form 10-K for the year ended December 31, 1999. A decrease in market interest rates during the nine months of the year positively impacted the value of the Company's investments. The impact is described in the Liquidity and Capital Resources section above. PART II - OTHER INFORMATION Item 6. Exhibits and Reports on Form 8-K -------------------------------- (a) The following exhibits are included herewith: 27 Financial Data Schedule (b) Not applicable. 13 SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. MERCURY GENERAL CORPORATION Date: November 10, 2000 By: /s/ GEORGE JOSEPH ------------------------------------ George Joseph Chairman and Chief Executive Officer Date: November 10, 2000 By: /s/ GABRIEL TIRADOR ------------------------------------ Gabriel Tirador Vice President and Chief Financial Officer 14 EX-27 2 0002.txt FINANCIAL DATA SCHEDULE
7 THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM MERCURY GENERAL CORPORATION AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE TO SUCH FINANCIAL STATEMENTS. 1,000 9-MOS DEC-31-2000 JAN-01-2000 SEP-30-2000 1,459,758 0 0 235,009 0 0 1,748,089 6,216 0 68,329 2,108,001 477,635 372,076 0 0 112,889 50,701 0 0 934,765 2,108,001 931,950 78,536 2,784 4,383 664,609 204,768 44,742 98,315 14,954 83,361 0 0 0 83,361 1.54 1.54 0 0 0 0 0 0 0
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