Baldwin & Lyons, Inc. Unaudited First Quarter Report

Apr 30, 2001, 01:00 ET from Baldwin & Lyons, Inc.

    INDIANAPOLIS, April 30 /PRNewswire/ -- Baldwin & Lyons, Inc.
 (Nasdaq:   BWINA, BWINB) today announced first quarter operating income, before
 capital gains, of $2.9 million, or $.24 per share, compared to $3.4 million,
 or $.26 per share, for the first quarter of 2000. Including net capital
 transactions, first quarter net income was $7.2 million, or $.59 per share,
 compared to $6.3 million, or $.48 per share, for the first quarter of 2000.
     Net premiums earned by the Company's insurance subsidiaries during the
 first quarter totaled $19.0 million, a decrease of 3% from the $19.7 million
 reported for the first quarter of 2000. Adjusted for a $1.5 million non-
 recurring reinsurance assumed reinstatement premium recorded during the first
 quarter of 2000, net premiums earned actually increased 5% from the previous
 year.  All of the Company's direct writing divisions experienced premium
 growth, as compared to the first quarter of 2000, with the exception of the
 private passenger automobile division, which experienced a modest decrease in
 volume resulting from rate increases implemented in late 2000 and 2001.
     Pre-tax investment income decreased 7.5% from the 2000 quarter due in part
 to a decrease in average funds invested. The prior year quarter also included
 certain limited partnership distributions not repeated in the current quarter.
 Overall pre-tax and after tax yields were relatively unchanged from the prior
 year period.
     The consolidated combined ratio of the insurance subsidiaries for the
 first quarter of 2001 was 102.8% producing an underwriting loss of
 $.5 million. This compares to a $.7 million underwriting gain on a combined
 ratio of 96.4% for the first quarter of 2000. The consolidated loss and loss
 expense ratio increased from 67.4% in the prior year to 75.4% as all direct
 writing divisions experienced higher loss ratios resulting from a combination
 of frequency and severity of losses during the current quarter. The
 consolidated underwriting expense ratio of 27.4% compares to 29.0% for the
 2000 first quarter.
     Shareholders' equity decreased $4.7 million from December 31, 2000, as the
 result of a $10.2 million decrease in unrealized net gains on investments.
 Shareholders' equity totals $289.3 million at March 31, 2001. Book value per
 common share outstanding decreased 1.5%, or $.37, to $23.64 during the first
 quarter.
 
     Financial Highlights (unaudited)
     Baldwin & Lyons, Inc. and Subsidiaries
     (In thousands, except per share data)           Three Months Ended
                                                          March 31,
                                                      2001        2000
 
     Revenue                                        $31,068      $29,903
 
     Income before realized capital transactions     $2,927       $3,372
     Realized net gains on investments,
       net of federal income taxes                    4,249        2,903
 
                                     Net income      $7,176       $6,275
 
     Per share data:
        Average number of shares                     12,255       13,148
 
        Income before realized capital transactions    $.24         $.26
        Realized net gains on investments               .35          .22
 
                                     Net income        $.59         $.48
 
     Dividends                                         $.10         $.10
 
     Annualized return on average shareholders'
       equity (net income)                             11.0%         9.8%
     Consolidated combined ratio of insurance
       subsidiaries (GAAP basis)                      102.8%        96.4%
 
     Forward-looking statements in this report are made pursuant to the safe
 harbor provisions of the Private Securities Litigation Reform Act of 1995.
 Investors are cautioned that such forward-looking statements involve inherent
 risks and uncertainties.  Readers are encouraged to review the Company's
 annual report for its full statement regarding forward-looking information.
 
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SOURCE Baldwin & Lyons, Inc.
    INDIANAPOLIS, April 30 /PRNewswire/ -- Baldwin & Lyons, Inc.
 (Nasdaq:   BWINA, BWINB) today announced first quarter operating income, before
 capital gains, of $2.9 million, or $.24 per share, compared to $3.4 million,
 or $.26 per share, for the first quarter of 2000. Including net capital
 transactions, first quarter net income was $7.2 million, or $.59 per share,
 compared to $6.3 million, or $.48 per share, for the first quarter of 2000.
     Net premiums earned by the Company's insurance subsidiaries during the
 first quarter totaled $19.0 million, a decrease of 3% from the $19.7 million
 reported for the first quarter of 2000. Adjusted for a $1.5 million non-
 recurring reinsurance assumed reinstatement premium recorded during the first
 quarter of 2000, net premiums earned actually increased 5% from the previous
 year.  All of the Company's direct writing divisions experienced premium
 growth, as compared to the first quarter of 2000, with the exception of the
 private passenger automobile division, which experienced a modest decrease in
 volume resulting from rate increases implemented in late 2000 and 2001.
     Pre-tax investment income decreased 7.5% from the 2000 quarter due in part
 to a decrease in average funds invested. The prior year quarter also included
 certain limited partnership distributions not repeated in the current quarter.
 Overall pre-tax and after tax yields were relatively unchanged from the prior
 year period.
     The consolidated combined ratio of the insurance subsidiaries for the
 first quarter of 2001 was 102.8% producing an underwriting loss of
 $.5 million. This compares to a $.7 million underwriting gain on a combined
 ratio of 96.4% for the first quarter of 2000. The consolidated loss and loss
 expense ratio increased from 67.4% in the prior year to 75.4% as all direct
 writing divisions experienced higher loss ratios resulting from a combination
 of frequency and severity of losses during the current quarter. The
 consolidated underwriting expense ratio of 27.4% compares to 29.0% for the
 2000 first quarter.
     Shareholders' equity decreased $4.7 million from December 31, 2000, as the
 result of a $10.2 million decrease in unrealized net gains on investments.
 Shareholders' equity totals $289.3 million at March 31, 2001. Book value per
 common share outstanding decreased 1.5%, or $.37, to $23.64 during the first
 quarter.
 
     Financial Highlights (unaudited)
     Baldwin & Lyons, Inc. and Subsidiaries
     (In thousands, except per share data)           Three Months Ended
                                                          March 31,
                                                      2001        2000
 
     Revenue                                        $31,068      $29,903
 
     Income before realized capital transactions     $2,927       $3,372
     Realized net gains on investments,
       net of federal income taxes                    4,249        2,903
 
                                     Net income      $7,176       $6,275
 
     Per share data:
        Average number of shares                     12,255       13,148
 
        Income before realized capital transactions    $.24         $.26
        Realized net gains on investments               .35          .22
 
                                     Net income        $.59         $.48
 
     Dividends                                         $.10         $.10
 
     Annualized return on average shareholders'
       equity (net income)                             11.0%         9.8%
     Consolidated combined ratio of insurance
       subsidiaries (GAAP basis)                      102.8%        96.4%
 
     Forward-looking statements in this report are made pursuant to the safe
 harbor provisions of the Private Securities Litigation Reform Act of 1995.
 Investors are cautioned that such forward-looking statements involve inherent
 risks and uncertainties.  Readers are encouraged to review the Company's
 annual report for its full statement regarding forward-looking information.
 
                       MAKE YOUR OPINION COUNT -  Click Here
                  http://tbutton.prnewswire.com/prn/11690X16484573
 
 SOURCE  Baldwin & Lyons, Inc.