Penn Treaty American Corporation Announces Record Date for Rights Offering

Apr 18, 2001, 01:00 ET from Penn Treaty American Corporation

    ALLENTOWN, Pa., April 18 /PRNewswire/ -- Penn Treaty American Corporation
 (NYSE:   PTA) has set the record date for its previously announced rights
 offering as April 20, 2001.  Shareholders of record for the Company's common
 stock and 2003 Convertible Notes at the close of that date will be eligible to
 participate in the offering.  Shareholders were originally notified of the
 rights offering on April 13, 2001.  Additional information about the rights
 offering, including the subscription ratio, the subscription price and the
 expiration date of the right to subscribe, will be announced by press release
 when it has been determined.
     PTA has previously disclosed its intention to undertake a rights offering
 in order to generate approximately $40 million in additional capital and
 surplus to support its insurance operations.
     PTA, through its wholly owned direct and indirect subsidiaries, Penn
 Treaty Network America Insurance Company, American Network Insurance Company,
 American Independent Network Insurance Company of New York, Penn Treaty
 (Bermuda), Ltd., United Insurance Group Agency, Inc., Network Insurance Senior
 Health Division and Senior Financial Consultants Company, is primarily engaged
 in the underwriting, marketing and sale of individual and group accident and
 health insurance products, principally covering long term nursing home and
 home health care.  PTA is licensed to conduct business in 50 states and the
 District of Columbia.
 
     Certain statements made by the Company, in this press release, may be
 considered forward-looking within the meaning of the Private Securities
 Litigation Reform Act of 1995.  Although the Company believes that its
 expectations are based upon reasonable assumptions within the bounds of its
 knowledge of its business and operations, there can be no assurance that
 actual results of the Company's operations will not differ materially from its
 expectations.  Factors which could cause actual results to differ from
 expectations include, among others, the Company's ability to raise adequate
 capital to meet the requirements of current business and anticipated growth,
 the adequacy of the Company's loss reserves, the Company's ability to qualify
 new insurance products for sale in certain states and to succeed in obtaining
 necessary rate increases, the Company's ability to comply with government
 regulations and the requirements which may be imposed by state regulators as a
 result of the Company's surplus levels, the ability of senior citizens to
 purchase the Company's products in light of the increasing costs of health
 care, the modality of premium revenue, the ability of the Company to defend
 itself from adverse litigation, and the Company's ability to expand its
 network of productive independent agents.  For additional information, please
 refer to the Company's reports filed with the Securities and Exchange
 Commission.
 
 

SOURCE Penn Treaty American Corporation
    ALLENTOWN, Pa., April 18 /PRNewswire/ -- Penn Treaty American Corporation
 (NYSE:   PTA) has set the record date for its previously announced rights
 offering as April 20, 2001.  Shareholders of record for the Company's common
 stock and 2003 Convertible Notes at the close of that date will be eligible to
 participate in the offering.  Shareholders were originally notified of the
 rights offering on April 13, 2001.  Additional information about the rights
 offering, including the subscription ratio, the subscription price and the
 expiration date of the right to subscribe, will be announced by press release
 when it has been determined.
     PTA has previously disclosed its intention to undertake a rights offering
 in order to generate approximately $40 million in additional capital and
 surplus to support its insurance operations.
     PTA, through its wholly owned direct and indirect subsidiaries, Penn
 Treaty Network America Insurance Company, American Network Insurance Company,
 American Independent Network Insurance Company of New York, Penn Treaty
 (Bermuda), Ltd., United Insurance Group Agency, Inc., Network Insurance Senior
 Health Division and Senior Financial Consultants Company, is primarily engaged
 in the underwriting, marketing and sale of individual and group accident and
 health insurance products, principally covering long term nursing home and
 home health care.  PTA is licensed to conduct business in 50 states and the
 District of Columbia.
 
     Certain statements made by the Company, in this press release, may be
 considered forward-looking within the meaning of the Private Securities
 Litigation Reform Act of 1995.  Although the Company believes that its
 expectations are based upon reasonable assumptions within the bounds of its
 knowledge of its business and operations, there can be no assurance that
 actual results of the Company's operations will not differ materially from its
 expectations.  Factors which could cause actual results to differ from
 expectations include, among others, the Company's ability to raise adequate
 capital to meet the requirements of current business and anticipated growth,
 the adequacy of the Company's loss reserves, the Company's ability to qualify
 new insurance products for sale in certain states and to succeed in obtaining
 necessary rate increases, the Company's ability to comply with government
 regulations and the requirements which may be imposed by state regulators as a
 result of the Company's surplus levels, the ability of senior citizens to
 purchase the Company's products in light of the increasing costs of health
 care, the modality of premium revenue, the ability of the Company to defend
 itself from adverse litigation, and the Company's ability to expand its
 network of productive independent agents.  For additional information, please
 refer to the Company's reports filed with the Securities and Exchange
 Commission.
 
 SOURCE  Penn Treaty American Corporation