SCHEDULE I

STEWART INFORMATION SERVICES CORPORATION

(Parent Company)

STATEMENTS OF OPERATIONS AND RETAINED EARNINGS


	For the Years Ended December 31,
	2012			2011			2010
	($000 omitted)
Revenues
Investment income, including $0, $0 and $22 from affiliates		579			74			86
Other (losses) gains		(3,358	)		(3,770	)		3,109
Other income		380			235			68

		(2,399	)		(3,461	)		3,263
Expenses
Employee costs		5,192			2,168			1,388
Other operating expenses, including $305, $177 and $144 to affiliates		1,674			451			5,796
Depreciation and amortization		802			893			862
Interest		4,615			4,639			4,658

		12,283			8,151			12,704
Loss before tax expense (benefit) and loss from subsidiaries		(14,682	)		(11,612	)		(9,441	)
Income tax expense (benefit)		34			79			(277	)
Less (earnings) loss from subsidiaries		(123,898	)		(14,039	)		3,418

Net income (loss)		109,182			2,348			(12,582	)
Retained earnings at beginning of year		284,097			282,666			296,116
Cash dividends on Common Stock ($0.10 per share in 2012 and $0.05 per share in 2011 and 2010)		(1,832	)		(917	)		(868	)

Retained earnings at end of year		391,447			284,097			282,666

See accompanying note to financial statement information.

STEWART INFORMATION SERVICES CORPORATION

(Parent Company)

BALANCE SHEETS


	As of December 31,
	2012			2011
	($000 omitted)
Assets
Cash and cash equivalents		10,725			4,170
Receivables:
Notes		14			15
Other, including $3 and $191 from affiliates		43			476
Allowance for uncollectible amounts		(14	)		(15	)

		43			476
Property and equipment, at cost:
Buildings		—			2,287
Furniture and equipment		3,109			3,209
Accumulated depreciation		(2,347	)		(2,429	)

		762			3,067
Title plant, at cost		48			48
Investments in subsidiaries, on an equity method basis		626,994			504,897
Goodwill		8,470			8,470
Other assets		16,797			17,136

		663,839			538,264

Liabilities
Convertible senior notes		64,687			64,513
Accounts payable and accrued liabilities, including $3 and $104 from affiliates		30,346			23,537

		95,033			88,050
Contingent liabilities and commitments
Stockholders’ equity
Common Stock – $1 par, authorized 50,000,000; issued 18,705,914 and 18,605,993; outstanding 18,353,753 and 18,253,832		18,706			18,606
Class B Common Stock– $1 par, authorized 1,500,000; issued and outstanding 1,050,012		1,050			1,050
Additional paid-in capital		133,685			132,446
Retained earnings⁽¹⁾		391,447			284,097
Accumulated other comprehensive earnings:
Foreign currency translation adjustments		12,169			9,250
Unrealized investment gains		14,415			7,431
Treasury stock – 352,161 and 352,161 common shares, at cost		(2,666	)		(2,666	)

Total stockholders’ equity		568,806			450,214

		663,839			538,264

⁽¹⁾	Includes undistributed earnings of subsidiaries of $466,442 in 2012 and $344,376 in 2011.

See accompanying note to financial statement information.

STEWART INFORMATION SERVICES CORPORATION

(Parent Company)

STATEMENTS OF CASH FLOWS


	For the Years Ended December 31,
	2012			2011			2010
	($000 omitted)
Reconciliation of net earnings (loss) to cash provided (used) by operating activities:
Net earnings (loss)		109,182			2,348			(12,582	)
Add (deduct):
Depreciation and amortization		802			893			862
Provision for bad debt		(1	)		(2	)		(96	)
Other losses (gains)		3,358			3,770			(3,109	)
Decrease (increase) in receivables – net		433			(218	)		1,173
Increase in other assets – net		(229	)		(1,171	)		(130	)
Increase (decrease) in payables and accrued liabilities – net		16,747			3,941			(1,007	)
(Earnings) loss from subsidiaries		(123,898	)		(14,039	)		3,418
Other – net		1,899			3,213			2,735

Cash provided (used) by operating activities		8,293			(1,265	)		(8,736	)
Investing activities:
Cash paid for loan guarantee obligation		—			(4,318	)		—
Proceeds from the sale of (purchases of) property and equipment – net		1,593			3,070			(3,016	)
Collections on notes receivables		1			9			12,842
Proceeds from the sale of land and buildings		—			—			6,323
Contributions to subsidiaries		(1,500	)		—			—

Cash provided (used) by investing activities		94			(1,239	)		16,149
Financing activities:
Dividends paid		(1,832	)		(917	)		(868	)

Cash (used) provided by financing activities		(1,832	)		(917	)		(868	)

Increase (decrease) in cash and cash equivalents		6,555			(3,421	)		6,545
Cash and cash equivalents at beginning of year		4,170			7,591			1,046

Cash and cash equivalents at end of year		10,725			4,170			7,591

Supplemental information:
Income taxes paid		149			82			—
Interest paid		—			3,900			3,900