Monthly Operating Report

EX-99.1 2 dex991.htm MONTHLY OPERATING REPORT Monthly Operating Report

Exhibit 99.1

CASE NAME: Acceptance Insurance Companies Inc.

CASE NO: 05-80059

Form OPR-1A


	2/28/07		3/31/07		4/30/07		5/31/07		6/30/07		7/31/07
CURRENT ASSETS:
Cash (Attach Recons. & Bk Stmts.)	1,170		1,702		1,005		810		1,144		923
Investment securities, at market	1,743,283		1,725,902		1,617,563		1,610,856		1,520,322		1,497,261
Prepaid expense & deposits	60,000		60,000		60,000		60,000		60,000		60,000

TOTAL CURRENT ASSETS	1,804,453		1,787,604		1,678,568		1,671,666		1,581,466		1,558,184

OTHER ASSETS:
Note receivable from AIC	20,000,000		20,000,000		20,000,000		20,000,000		20,000,000		20,000,000
Valuation allowance	(20,000,000	)	(20,000,000	)	(20,000,000	)	(20,000,000	)	(20,000,000	)	(20,000,000	)
Investment in AIC, at underlying book value	11,736,045		11,736,045		11,863,974		11,863,974		11,863,974		11,945,142
Contingent claims	21,500,000		21,500,000		21,500,000		21,500,000		21,500,000		21,500,000

TOTAL OTHER ASSETS	33,236,045		33,236,045		33,363,974		33,363,974		33,363,974		33,445,142

TOTAL ASSETS	35,040,498		35,023,649		35,042,542		35,035,640		34,945,440		35,003,326

I CERTIFY UNDER PENALTY OF PERJURY THAT THIS 5 PAGE OPERATING REPORT IS TRUE AND CORRECT.

CASE NAME: Acceptance Insurance Companies Inc.

CASE NO: 05-80059

Form OPR-1B


	2/28/07		3/31/07		4/30/07		5/31/07		6/30/07		7/31/07
LIABILITIES:
Post-Petition debt (Sched. C)	37,967		34,821		33,409		73,306		54,960		120,179
Pre-Petition Debt:
Litigation claims	22,000,000		22,000,000		22,000,000		22,000,000		22,000,000		22,000,000
Unsecured liabilities	46,054		46,054		46,054		46,054		46,054		46,054
Unsecured debt	116,110,260		116,110,260		116,110,260		116,110,260		116,110,260		116,110,260

TOTAL LIABILITIES	138,194,281		138,191,135		138,189,723		138,229,620		138,211,274		138,276,493

SHAREHOLDERS EQUITY:
Preferred stock	0		0		0		0		0		0
Common stock	6,274,000		6,274,000		6,274,000		6,274,000		6,274,000		6,274,000
Paid-in capital	199,660,000		199,660,000		199,660,000		199,660,000		199,660,000		199,660,000
Treasury stock	(29,969,000	)	(29,969,000	)	(29,969,000	)	(29,969,000	)	(29,969,000	)	(29,969,000	)
Retained earnings:
As of filing date	(281,005,796	)	(281,005,796	)	(281,005,796	)	(281,005,796	)	(281,005,796	)	(281,005,796	)
After filing date	1,887,013		1,873,310		1,893,615		1,846,816		1,774,962		1,767,629

TOTAL SHAREHOLDERS EQUITY	(103,153,783	)	(103,167,486	)	(103,147,181	)	(103,193,980	)	(103,265,834	)	(103,273,167	)

TOTAL LIABILITIES AND SHAREHOLDER EQUITY	35,040,498		35,023,649		35,042,542		35,035,640		34,945,440		35,003,326

CASE NAME: Acceptance Insurance Companies Inc.

CASE NO: 05-80059

Form OPR-2

STATEMENT OF INCOME


	2/28/07		3/31/07		4/30/07		5/31/07		6/30/07		7/31/07
REVENUE:
Net investment income	6,966		7,354		7,290		6,995		6,350		6,769
Net realized gain	0		0		0		0		0		0
Other	0		0		0		0		631		0
OPERATING EXPENSES:
Salaries and benefits	(7,222	)	(7,222	)	(7,221	)	(7,022	)	(6,949	)	(6,949	)
Board fees and expenses	0		0		0		0		(85	)	0
Financial advisor fees and expenses	0		0		0		0		0		(75,000	)
Legal fees and expenses	(11,142	)	(11,882	)	(104,708	)	(44,805	)	(63,486	)	(13,315	)
Accounting fees and expenses	0		0		0		0		(6,326	)	0
Insurance	0		0		0		0		0		0
Franchise taxes	0		0		0		0		0		0
Filing fees and expenses	(4,173	)	(1,947	)	(2,979	)	(1,963	)	(1,953	)	(5	)
Miscellaneous	(69	)	(5	)	(5	)	(5	)	(36	)	0

NET OPERATING INCOME / LOSS	(15,640	)	(13,702	)	(107,623	)	(46,800	)	(71,854	)	(88,500	)

OTHER INCOME (EXPENSE):
Interest expense	0		0		0		0		0		0
Income tax refund	0		0		0		0		0		0
Equity in operating earnings of AIC	0		0		1,250		0		0		165,848
Equity in unrealized losses of securities of AIC	0		0		126,679		0		0		(84,680	)

TOTAL OTHER INCOME (EXPENSE)	0		0		127,929		0		0		81,168

NET INCOME (LOSS)	(15,640	)	(13,702	)	20,306		(46,800	)	(71,854	)	(7,332	)

CASE NAME: Acceptance Insurance Companies Inc.

CASE NO: 05-80059

Form OPR-3

SOURCES AND USE OF CASH


	2/28/07		3/31/07		4/30/07		5/31/07		6/30/07		7/31/07
CASH DIFFERENCE:
Current ending cash balance	1,170		1,702		1,005		810		1,144		923
Less ending prior month balance	(824	)	(1,170	)	(1,702	)	(1,005	)	(810	)	(1,144	)

NET CASH INCREASE (DECREASE)	346		532		(697	)	(195	)	334		(221	)

SOURCES OF CASH:
Net income (loss)	(15,640	)	(13,702	)	20,306		(46,800	)	(71,854	)	(7,332	)
Equity in earnings and unrealized losses of AIC	0		0		(127,929	)	0		0		(81,168	)
Decrease in:
Receivables	0		0		0		0		0		0
Marketable securities	12,744		17,381		108,340		6,707		90,534		23,061
Increase in:
Post- petition debt	3,242		0		0		39,898		0		65,218
Pre-petition debt	0		0		0		0		0		0

TOTAL SOURCES OF CASH	346		3,679		717		(195	)	18,680		(221	)

USES OF CASH:
Increase in:
Receivables	0		0		0		0		0		0
Marketable securities	0		0		0		0		0		0
Decrease in:
Post- petition debt	0		(3,147	)	(1,414	)	0		(18,346	)	0
Pre-petition debt	0		0		0		0		0		0

TOTAL USES OF CASH	0		(3,147	)	(1,414	)	0		(18,346	)	0

NET CASH INCREASE (DECREASE)	346		532		(697	)	(195	)	334		(221	)

CASE NAME: Acceptance Insurance Companies Inc.

CASE NO: 05-80059

SCHEDULE C

SCHEDULE OF POST PETITION