California Insurance

New platform for investment plans to create the first national insurance brokerage dedicated to Hispanic consumers

San Francisco, CA - (Hispanic PR Wire - PR Newswire) - January 15, 2008 - Genstar Capital, LLC, a Middle Market Private Equity, its emphasis on investment in certain sectors of Life Sciences and Health Care Services, l industry-technology, business services and software, services, announced today that it has experimented with leaders of insurance companies and West Line Corporation, Entrusts Seguros, a platform to consolidate insurance brokerages in the first line focuses on Hispanic consumers. Along with the creation of this new company, Entrusts Seguros announced that its first investment in the west of Line, an insurance brokerage in California.

In the next three years, Genstar and management Entrusts Seguros Team, led by experienced insurance brokerage-CEO John Addeo, watching the construction of a national distribution agreement with a turnover of over $ 300 million, with an emphasis on major markets, including but not limited to, California, Arizona, Florida, Texas, Georgia and Nevada. The financing for future acquisitions by the commitment of Genstar and management of $ 75 million and a banking structure of the acquisition capacity of more than $ 200 million.

Mr. Addeo has carried out two successful consolidation of the market environment damage and accidents brokerages. Most recently he was president and CEO of Alliant Resources Group, a company he founded and built on more than $ 200 million in sales through 12 acquisitions. Previously, he was president and COO of USI Insurance Services, 90 where he acquired insurance companies and brokerages USI built in the sixth largest brokerage in USA

Mr. Addeo has acceded and a successful management team. Mordy mountain Roth, founder and president of Entrusts Seguros, played a role development experiences affairs of his tenure as executive and IDT Corp. Net2phone and run Strategy and Business Development, Stephen Provenzano, Executive Vice President & CFO, has more than 25 years of experience and finance operations Multi-Unit Retail businesses, and Andre Urena, Senior Vice President of Business Development, occurs with more than 20 years of experience in the insurance market Hispanic and CEO and founder of the Association of Latin American officers.

“The dynamic growth of this attractive market and new business opportunities, we will build the first national insurance brokerage with an emphasis on Hispanic consumers. Entrusts Seguros is also given us a multitude of other financial services and insurance products served the Hispanic community, “said CEO John Entrusts Seguros Addeo. “We welcome our new partnership with West Line and Genstar, whose financial support and experience of companies building is an important instrument, as we accelerate our growth.”

West Line, which is based in Cypress, California, is one of the largest distributors of non-standard, auto insurance products, since 29 branches across California. West Line offers its products through three brokerage: South Coast auto insurance, Solo insurance, insurance and Freeway. West Line serve as a platform to build operating in the region for California Entrusts Seguros. “West Line has successfully integrated several acquisitions brokerage in the past five years, and we had a working model of these agencies,” said John Klaeb, founder and CEO of West Line, COO, with Joe Waked, will continue to play a role in the operations and acquisitions California. “We are excited about the partnership with the team Entrusts Seguros Genstar capital and provide valuable insurance products in the Community.” John Klaeb serve as a member of Entrusts Seguros ‘Board of Directors, in addition to its role as CEO of West Line.

“This new investment is in line with our strategy of partnership with high calibre management teams and investment in quality platform of businesses in attractive markets of the consolidation of strong possibilities of entrepreneurship” , Said Ryan, J. Clark, Vice President of Genstar. “We have with the management teams of Seguros Entrusts line refine and West” business plan “and ensure that well-structured and active in achieving our strategic objectives. We welcome the collaboration with John and his team, and winners Line principles of the West as we build trust Seguros. ”

Elders in 2007, Genstar invested in another related insurance, 21 Services, a company based in Minneapolis, is a leading provider of life expectancy information that is currently in the life of the colony of industry For the secondary market for life insurance. The 21 supplyservices current life expectancy for the elderly on estimates of brokers, suppliers and investors because they determine the valuation of a policy.

About Genstar Capital, LLC
Based in San Francisco, Genstar Capital (http://www.gencap.com) is a leading private equity investment firm, is leveraging investments in the quality centre market. Genstar Capital works in partnership with management to restructure its portfolio of leading companies in the business sector. With more than $ 3 billion of capital under management and extensive experience in companies investing Genstar focuses on certain segments of the Life-Science services and health care, industrial technology, business services and software, services.

Standard & Poor’s today affirmed its unique’Api ‘credit ratings on West Eagle Insurance Co.

Eagle West Insurance Co., licensed in Oregon, Montana, California, Nevada and Arizona, working mainly in California. The main business sectors are private self-responsibility and owner of several risk. It began in 1906.

The company is a member of the California Insurance Group and participates in an inter-affiliate with pool in California Capital Insurance Co. and Monterey Insurance Co.

The company takes Standard & Poor’s Rating criteria for pool

WHEN his eight years as a Republican state assemblyman from San Jose, Charles Quackenbush, charlatan, Chuck or friends; Hinterbänkler was a matter dealing with education and economic development. But the 6-foot-4 ex-captain of the U.S. Army was not satisfied, remains a small fish. He presented his attractions of California elektiven post of Commissioner of Insurance. California is one of only 12 countries, elects its commissioner. In 1988, voters in California passed Proposition 103, the work of an elective post.

A delay? Not for a politician. No, California, where people almost live in their cars and where the earthquake occurs. Californians nearly $ 60 billion in insurance premiums each year and not, as insurance companies. There are bashing political capital and at prices very promising.

Quackenbush, 43, raised $ 3.5 million for his successful 1994. Two-thirds of its money has come from the insurance business people. The industry must have thought Quackenbush’s claims it has a free enterprise, the man is not the potential of the mandate of demagoguery. After undergoing four years of regulation by the ambitious, but bungling Liberal Democrats, John Garamendi, insurance people hope for better things from a Republican. Garamendi seized Executive Life Insurance Co. in 1991 to “protect” insurance and ending turn its valuable portfolio of junk bonds over-Leon Black financial firesale prices (Forbes, Mar. 14, 1994).

Quackenbush knew a lot about politics. He also knew well that nothing about insurance.

After Quackenbush won the Labour Commissioner, he appointed James Woods, Managing Partner of the law firm at Leboeuf, Lamb, Greene & MacRae’s San Francisco, the head of his transition team. Leboeuf and insurance customers in California lobbyists who contributed at least $ 800000 Quackenbush and its committees since 1994.

Nature would soon give him a chance to take in the headlines. The year he was elected, California was rockten by the earthquake in Northridge, causing $ 12.5 billion of insured damage. Deeply shaken, most insurance companies stopped writing new homeowners, because the California law, she asked to offer coverage of earthquakes as good.

In July 1995, six months after taking office Quackenbush announced his solution: it would be a government of course, privately financed Insurance Pool, the Authority earthquakes in California, shoulder earthquake at risk. There was a siege of three people on board and named his deputy Commissioner of Insurance and former campaign manager Gregory Butler, 31, Chief Executive. Butler was seen as an assurance that his new boss.

The state’s largest public real estate insurance Farm, Allstate and peasants, their participation in the pool, in exchange for reserves the right to write homeowners earthquake policy without coverage. Customers buy insurance that the earthquake would be the political pool.

The authority has been a Californian earthquake Win-Win, krähte charlatan. “We still have the house owner” market place, everyone has access to an earthquake policy, if they want, “he said.” It was a success destroy. ”

For whom? CEA-politics are at least twice as expensive and in some areas, even four to five times, California has paid for a wider coverage of earthquakes. If the CEA zugreife with too many claims, policyholders are again evaluated and reduced their claims.

Following my efforts to explore the banks, both large and small, now that I have California’s Capital Corp. of the West (Nasdaq: CCOW). This is a bank of more modest size, operates 23 branches in the Central Valley of California between Stockton and Fresno.

While the Bank during the first quarter results quite respectable in their own right, a little adjustment because they look even more impressive. Notifications net profit rose by 11% during the quarter, but if you can be assured of a gang out of the period of the previous year was the growth rate balloons to 25%. Similarly, with the Return on Assets and justice. The absolute numbers for this quarter (1.28% or 17.6%) are not bad in their own right, and Stripping out the gain over the previous year, a performance improvement.

Growth is a very fuel - growth in the underlying assets to win. The surplus in interest rates has increased by 23% during the quarter with 19% growth in the underlying assets average. Excess interest rate was also fairly well (4.72%), although over the previous year, the improvement is due mainly because of a change in asset mix. A small fly in the soup recipes interest rate is not really essential here - and I’m pretty nice with the banks, fat, rates of non-interest income.

As you think perhaps, the preceding paragraph, credit growth was quite considerable. Average balances of loans over 24%, and the bank has seen good growth in both trade and mortgages (currently about half of the total). It is also noteworthy that nearly three quarters of these loans at variable rates. Deposit growth was also strong - nearly 18% below the bar non-performing assets of interest on deposits of more than 12%.

During Capital Corp. already has a good record, it could be more. The Central Valley region is clearly more and more popular a place of life and the University of California has recently opened a new branch in Merced - the hometown company. And so, while I am sure that large banks such as Wells Fargo (NYSE: WFC), Bank of America (NYSE: BAC), and Washington Mutual (NYSE: WM) are important players, it is worth recalling that, CAPITAL CORP already the market leader in many districts.

Even if I am satisfied with my handful of models for evaluating the biggest (and, more generally, slower-growing) Banks, I am in the process of changing my approach to these small businesses growing fast . Hence, instead of buying / selling / I will simply say: “Keep abreast of current events, and perhaps indicate that the Bank hand for some investors looking for growth may cast a coup d ‘ eye here.

Oracle Corp. announced wins major clients signed during the fourth quarter of fiscal 2004, whose results were announced today. Customers continue to choose Oracle (r) Software offers competitive backdrop to integrate and automate business systems, contributing to the reduction of Total Cost of Ownership and the creation of a uniform, comprehensive overview of their activity . In addition, Oracle’s focus on strong strategic relationships with customers to continue to contribute to the growth of the company.

QUALCOMM is another company that recognizes the value of its close relationship with Oracle. According to the standard Fjeldheim, CEO of QUALCOMM, “Oracle has worked closely with QUALCOMM help streamline our business processes and systems. We do not believe that the Oracle software as a supplier, but as a strategic advisor to carry out our objectives. Together we have a lot of sub. ”

Oracle E-Business Suite
Oracle E-Business Suite is a complete range of business applications allows the efficient management of all core business functions, such as customer interactions, financial management, Human Resources and Supply Chain Management. Oracle’s open architecture allows customers to deploy applications as individual modules, business flows or an entire integrated suite.

“Tecumseh cast a glance at the various products of manufacturers, including Oracle, SAP and PSFT / JDE. Finally, Oracle was selected because of the breadth of the functionality of the E-Business Suite, its simplicity configuration and flexibility of its architecture, “said Standard Robinson, CIO, Tecumseh Products.

Customers who buy Oracle E-Business Suite Oracle during the fourth quarter include: Alfa Insurance, Arabian Automobile, BC Ferry Services Inc. BPU Banca Group, Cabot Microelectronics, Capital Health Region, the insurance industry goods, Carlson Companies , Inc. Caterpillar Financial, Coates rent, Correctional Services Canada, Ministry of Finance (China), the future of companies Pte Ltd, Housing Development Finance Corporation Limited, HuaDianPower International Co. Ltd, INAIL, Khanna Paper Mills, kirloskar oil engines, Kolkata Mu, delete Over floor. com Inc., Pantaloon, Phone Directories, P & O Ports Limited, Romtelecom, SCH, Sherwin Williams, Solihull MBC, Stryker Orthopaedics, Szalma & Partner, TCS, Titan Industries Limited, Torch Automobile Group Co., Ltd., Toyota Infotec TUI GmbH & Co. KG, UTI Bank Ltd., Ville de Laval, West Coast Paper Mills Ltd. and Western Digital Corporation.

The public and municipal borrowers are discovering that buying insurance for municipal bond Mbia and Ambac Financial Group Inc. is a waste of money.

Wisconsin sells $ 154.6 million of general obligation bonds in the last month, interest rates, as a general rule, only to borrowers with the highest quality. Wall Street company was not required by the State to ensure obligations, while Wisconsin is staggered AAA four levels below, amid signs that the loan guarantors May lose their best rankings.

“ Either the road or investors do not see the underlying value of insurance,”Frank Hoadley, Wisconsin’s Director of Capital Finance, said in an interview.

Wisconsin, California, New York City and more than 300 other municipal issuers to buy bonds sold without insurance during the last week, to ensure that premiums are so high as half a percentage point of the loan, according to Bloomberg data. The amount of the sale of bonds insured decreased by 15 per cent in November from a year earlier, according to figures from Thomson Financial in the city Bond Buyer, an industry trade publication.

An issuer urban paid average annual 1.99 billion in premiums over the past five years, for the AAA rating by insurers at $ 1.86 trillion of interest and repayments, Standard & Poor’s said.

States and local governments in the areas of investment grade rating default, less than 1 percent of their debts, because they increase taxes, according to a report in March by Moody’s Investors Service. Credit Risk, you can outperform their ratings.

Dual-Rating Scale

“ Taxpayers insurers provide $ 2 billion per year due to a double rating scale,’’said Matt Fabian, senior analyst and managing director of the Municipal Market Advisors, an independent research obligations of municipal corporations in Concord, Massachusetts . “ It could easily save the taxpayers $ 2 billion by the rating agencies are they on the same scale as Corporate Bonds.”

States and cities leads to a reduction of debt to ensure that as little as 35 per cent of total lending in the first half of 2008, according to a report by December 13 New York-Bear Stearns Cos. That’s more than 50 percent over the past five years, Based on data from Thomson.

“ Most people are looking into scores of underlying,”Steven Shachat, invested $ 1.2 billion for Alpine Woods Capital Investors in Purchase, New York. “ Issuers are absolutely reassessment of the importance of insurance,”he said.

Ennuis insurers

The cost of protecting debt by the bond insurers MBIA, FGIC Corporation and XL Capital Assurance Inc. against late payment through credit default swaps credit has increased more than fourfold during the last four months because of their guarantees of debt related to Subprime mortgages, CMA Data Vision in London.

Moody’s lowered MBIA’s negative outlook on December 15 and said it may cut ratings on two others. S & P, followed by cutting the outlook for MBIA and Ambac too negative on December 19 Fitch Ratings today Ambac’s credit rating for a possible revision of the demotion, a day after taking the same action with MBIA .

Credit default swaps, contracts designed to protect the bondholders against default, the buyer to pay the nominal value in exchange against the underlying securities or liquiditätsnahe resources should be a non-compliance with debt agreements. An increase shows a decline in the perception of creditworthiness.

California, the biggest credit the USA, the municipal market, sells $ 1 billion of bonds, general obligation without insurance, participation in a growing number of issuers investigation of the purchase price of a Such coverage.

The state of California offered a 30-year securities at a yield of 4.86 percent. That’s 11 basis points, or 0.11 points more than a trade agreement between distributors today, 29 - Loans auction in February with the assurance CIFG guarantee. Investment banks UBS AG today the sale.

With product in California New York City, Tallahassee and other state and local governments for the restoration of the evaluation of the benefits of AAA, the insurance bond - almost half of all municipal bonds to raise their assessments, facilitate trade in the prevention against activated by default. From credit rating, auditing services from the insurer based on their assumption of debt in the context of mortgage late.

“ The contribution of income must be done to achieve an agreement has ascertained, a sufficient quantity of these issuers are as saying: “Let us not assured,” if nothing else than test waters,’’said Evan Rourke, an urban portfolio manager at MD Sass Associates in New York.

Municipal Bonds rose today as investors took advantage of relatively attractive yields of tax or approach over U.S. Treasury bonds-rate. The 30-year-top-rated performance of the Common Market Advisors has fallen 3 basis points to 4.46 percent, higher than 30 years of benchmark for a government of 12 days. Prices and yields move vice-versa.

Switch method of sale

California has changed last week, provided by the sale of its candidature for competitiveness, which the State Treasurer’s office allows pre-selected for insurers negotiate prices and yields investors. The state collected $ 350 million of orders from people for one to three days”“ retailing, in time for early this week. The institutional price was today.

Officials of the State Treasurer Bill Lockyer’s office in Sacramento says, they would lower government borrowings by the cost of research by retail participation. This month, concerns about a weakening credit among insurers weighed on the performance of municipal bonds compared to the American state papers.

Municipal Bonds gained 0.5 percent yesterday for the month compared with a yield of 2.7 percent Treasuries, Merrill Lynch & Co. indices, price increases and interest payments.

The negotiated deal allows officials to skip the insurance. In competitive loan distribution, investment banks are obliged, when allocating tasks subscription broadcasting tent costs the lowest interest rates. Insurance is a general rule, planning bidder option.

A quarter of $ 11.1 billion in California general obligation borrowing so far this year measures implemented to ensure timely payment of interest and, in principle, various companies, including Mbia and FGIC Corp.

Value Insurance

“ We buy a Triple-A rating of insurance, and given the current situation, we ask ourselves, that we really value?”, Says Tom Dresslar, Lockyer’s speakers. “ We took a decision that the uncertainties and potential for further bad news on insurers between the time of pricing and the arbitrary closure exceeded the value of insurance.”

MBIA and Ambac Financial Group Inc. said this week they could defend themselves capital in the middle of their qualities AAA rating by Fitch Ratings, Moody’s Investors Service and Standard & Poor’s. CIFG has received an influx of $ 1.5 billion capital of the French parent company, last week and won confirmation by Fitch, after publication.

Seattle’s Sound Transit cut its $ 450 million offer to negotiate yesterday on investor demand by selling more than half the loans without insurance, an abandonment of the bus and rail operators’s All-2005 policyholders sell.

Given the margin

In the Chicago Board of Education’s $ 239 million financing earlier this week, headed by Writer Loop Capital Markets LLC investors asked whether they want to buy bonds of longer maturity unversichert, “said Rourke. “ They have a few before placing on the market for this purpose.”

Chicago-finished school board to sell all, but the deadline of 2008 to 32-year contract with Financial Security Assurance Inc. ‘guarantee.

Three weeks Tallahassee, the capital of Florida sells $ 154 million through the networks had no obligations, scrapping plans to buy Ambac’s back to cover the transaction. New York City is planning to forego the purchase of insurance of $ 100 million of variable interest-bearing debt offering, as early as next week.

A central state brushed aside a last-minute panel Assekuranz proposal and approved Thursday a plan calling for steep reductions in costs to cover earthquakes thousands of homeowners in California.

The Board of Directors of the Authority of earthquakes in California have adopted unanimously to ask Insurance Commissioner John Garamendi to approval by the reduction of 22.1 percent, a stage, shaved an average of $ 260 per year for policyholders.

If Garamendi, the reduction would be the largest ever since the legislature created the state-run, financed by private funds authority earthquake in 1996.

Because of costs relatively few Californians buy earthquake insurance. About two-thirds of those made by the Authority.

With a fervor not seen since the last time the economy on life, the statesman invite legislators, a plethora of accounts to make health care more affordable.

Executives of health bills, which many believe in the sector, a chance to reach the Governor’s office after working hours at the State Capitol again later this month contains a number of ideas yet past legislative meetings — such as universal health care - and a new emphasis hospitals to play in medicine is more expensive.

“Health care affordable is a message that everyone is in many cases, elements,” said Dario Frommer, D-Los Angeles, chairman of the Assembly Health Committee. “Employers talk about premiums, workers talk about how much they pay, hospitals, to speak as little pay, HMOs talk about it, like many hospitals. It is a cacophony of the complaint. ”

With the number of Californians who are not assured of new wind in their sails for unversicherten is a refrain by most bills pending.

Several offer variations on the theme of universal significance.

The chiropractor has traveled so far as San Diego and Red Bluff, convergence outside the capital Tuesday gear for a fight for their lives to compete.

Carrying posters reading “No injuries all workers to live in pain, over a thousand chiropractor mobilize against the legislation on the restriction of chiropractic to injured employees” on the job. ” The bill is part of a last ditch effort session of this legislature to reform California’s troubled Workers’ Compensation.

“We are not the costs of pilots. Caps (visits to patients) will not work,” said Deborah Sampley, San Luis Obispo chiropractor.

Within the Capitol, insurance Commissioner John Garamendi legislature and discussed the advantages of limiting chiropractic visits Garamendi reveals a proposal