x
|
QUARTERLY
REPORT PURSUANT TO SECTION 13 OR 15(d) OF
|
||
THE
SECURITIES EXCHANGE ACT OF 1934
|
o
|
TRANSITION
REPORT PURSUANT TO SECTION 13 OR 15(d) OF
|
||
THE
SECURITIES EXCHANGE ACT OF 1934
|
Virginia
|
54-1589611
|
(State
or other jurisdiction of incorporation or organization)
|
(I.R.S.
Employer Identification No.)
|
101
Gateway Centre Parkway
Richmond,
Virginia
|
23235-5153
|
(Address
of principal executive offices)
|
(Zip
Code)
|
Common
Stock, No Par Value
|
17,050,307
shares
|
July
27, 2006
|
INDEX
|
||
Page
No.
|
||
PART
I. FINANCIAL INFORMATION
|
||
ITEM
1.
|
CONSOLIDATED
FINANCIAL STATEMENTS:
|
|
Consolidated
Balance Sheets
|
3
|
|
Consolidated
Statements of Operations
|
5
|
|
Consolidated
Statements of Cash Flows
|
6
|
|
Consolidated
Statements of Changes in Shareholders’ Equity
|
7
|
|
Notes
to Consolidated Financial Statements
|
8
|
|
ITEM
2.
|
MANAGEMENT'S
DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF
OPERATIONS
|
24
|
ITEM
3.
|
QUANTITATIVE
AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
|
40
|
ITEM
4.
|
CONTROLS
AND PROCEDURES
|
40
|
PART
II. OTHER INFORMATION
|
||
ITEM
1.
|
LEGAL
PROCEEDINGS
|
41
|
ITEM
1A.
|
RISK
FACTORS
|
41
|
ITEM
2.
|
UNREGISTERED
SALES OF EQUITY SECURITIES AND USE OF PROCEEDS
|
41
|
ITEM
4.
|
SUBMISSION
OF MATTERS TO A VOTE OF SECURITY HOLDERS
|
42
|
ITEM
5.
|
OTHER
INFORMATION
|
43
|
ITEM
6.
|
EXHIBITS
|
44
|
SIGNATURE
|
46
|
June
30,
|
December
31,
|
||||||
ASSETS
|
2006
|
2005
|
|||||
INVESTMENTS:
|
|||||||
Fixed
maturities available-for-sale - at fair value (amortized cost:
2006-
$1,192.6; 2005 -
$1,154.2)
|
$
|
1,176.3
|
$
|
1,163.5
|
|||
Equity
securities - at fair value (cost: 2006 -
$97.5; 2005 -
$94.5)
|
108.6
|
102.4
|
|||||
Federal
funds sold
|
10.5
|
4.2
|
|||||
Short
term investments
|
415.4
|
484.6
|
|||||
Total
Investments
|
1,710.8
|
1,754.7
|
|||||
CASH
|
80.9
|
89.1
|
|||||
LOANS
RECEIVABLE
|
451.7
|
437.9
|
|||||
ACCRUED
INTEREST RECEIVABLE
|
18.3
|
19.6
|
|||||
NOTES
AND ACCOUNTS RECEIVABLE
|
|||||||
Notes
(less allowance for doubtful accounts: 2006 -
$3.9; 2005 -
$4.3)
|
15.9
|
16.0
|
|||||
Trade
accounts receivable (less allowance for doubtful accounts: 2006
-
$10.9; 2005 -
$7.9)
|
131.1
|
124.6
|
|||||
Total
Notes and Accounts Receivable
|
147.0
|
140.6
|
|||||
TAXES
RECEIVABLE
|
21.4
|
-
|
|||||
PROPERTY
AND EQUIPMENT - at cost (less accumulated depreciation and amortization:
2006-
$212.5; 2005 -
$209.5)
|
107.9
|
114.4
|
|||||
TITLE
PLANTS
|
94.6
|
93.9
|
|||||
GOODWILL
|
594.6
|
584.3
|
|||||
INTANGIBLE
ASSETS (less accumulated amortization 2006 - $73.8; 2005 -
$61.3)
|
145.2
|
156.3
|
|||||
DEFERRED
INCOME TAXES
|
136.3
|
130.2
|
|||||
OTHER
ASSETS
|
198.8
|
174.0
|
|||||
Total
Assets
|
$
|
3,707.5
|
$
|
3,695.0
|
June
30,
|
December
31,
|
||||||
LIABILITIES
|
2006
|
2005
|
|||||
POLICY
AND CONTRACT CLAIMS
|
$
|
714.0
|
$
|
697.6
|
|||
DEPOSITS
|
588.6
|
547.2
|
|||||
ACCOUNTS
PAYABLE AND ACCRUED LIABILITIES
|
364.1
|
399.1
|
|||||
NOTES
PAYABLE
|
466.3
|
479.3
|
|||||
DEFERRED
SERVICE ARRANGEMENTS
|
216.8
|
211.2
|
|||||
TAXES
PAYABLE
|
-
|
18.1
|
|||||
OTHER
|
68.3
|
64.0
|
|||||
Total
Liabilities
|
2,418.1
|
2,416.5
|
|||||
COMMITMENTS
AND CONTINGENCIES
|
|||||||
SHAREHOLDERS’
EQUITY
|
|||||||
Common
stock, no par value, 45,000,000 shares authorized, shares issued
and
outstanding: 2006 - 17,071,307; 2005 -
17,291,213
|
425.6
|
443.1
|
|||||
Accumulated
other comprehensive loss
|
(57.0
|
)
|
(42.3
|
)
|
|||
Retained
earnings
|
920.8
|
877.7
|
|||||
Total
Shareholders’ Equity
|
1,289.4
|
1,278.5
|
|||||
Total
Liabilities and Shareholders’ Equity
|
$
|
3,707.5
|
$
|
3,695.0
|
|||
Three
Months Ended
June
30,
|
Six
Months Ended
June
30,
|
||||||||||||
2006
|
2005
|
2006
|
2005
|
||||||||||
(as
restated)
|
(as
restated)
|
||||||||||||
REVENUE
|
|||||||||||||
Operating
revenue
|
$
|
971.1
|
$
|
952.4
|
$
|
1,873.4
|
$
|
1,765.9
|
|||||
Investment
and other income
|
32.5
|
24.4
|
62.2
|
45.7
|
|||||||||
Net
realized investment (losses) gains
|
(1.5
|
)
|
0.3
|
(0.6
|
)
|
1.1
|
|||||||
1,002.1
|
977.1
|
1,935.0
|
1,812.7
|
||||||||||
EXPENSES
|
|||||||||||||
Agents’
commissions
|
404.2
|
371.6
|
787.3
|
696.2
|
|||||||||
Salaries
and employee benefits
|
288.8
|
282.9
|
565.5
|
530.2
|
|||||||||
General,
administrative and other
|
173.3
|
197.8
|
341.5
|
338.4
|
|||||||||
Provision
for policy and contract claims
|
50.9
|
46.8
|
101.3
|
91.5
|
|||||||||
Premium
taxes
|
11.9
|
10.6
|
22.3
|
20.3
|
|||||||||
Interest
expense
|
9.3
|
8.1
|
18.9
|
16.0
|
|||||||||
Amortization
of intangibles
|
6.3
|
7.7
|
12.6
|
14.7
|
|||||||||
Write-off
of intangible and long-lived assets
|
-
|
-
|
9.7
|
-
|
|||||||||
944.7
|
925.5
|
1,859.1
|
1,707.3
|
||||||||||
INCOME
BEFORE INCOME TAXES
|
57.4
|
51.6
|
75.9
|
105.4
|
|||||||||
INCOME
TAX EXPENSE
|
21.8
|
21.4
|
26.6
|
42.0
|
|||||||||
NET
INCOME
|
$
|
35.6
|
$
|
30.2
|
$
|
49.3
|
$
|
63.4
|
|||||
NET
INCOME PER COMMON SHARE
|
$
|
2.13
|
$
|
1.72
|
$
|
2.92
|
$
|
3.60
|
|||||
WEIGHTED
AVERAGE NUMBER OF COMMON SHARES OUTSTANDING
|
16.7
|
17.6
|
16.9
|
17.6
|
|||||||||
NET
INCOME PER COMMON SHARE ASSUMING DILUTION
|
$
|
2.06
|
$
|
1.70
|
$
|
2.82
|
$
|
3.56
|
|||||
WEIGHTED
AVERAGE NUMBER OF COMMON SHARES OUTSTANDING ASSUMING
DILUTION
|
17.3
|
17.8
|
17.5
|
17.8
|
|||||||||
CASH
DIVIDENDS DECLARED PER COMMON SHARE
|
$
|
0.18
|
$
|
0.15
|
$
|
0.36
|
$
|
0.30
|
2006
|
2005
|
||||||
(as
restated)
|
|||||||
Cash
flows from operating activities:
|
|||||||
Net
income
|
$
|
49.3
|
$
|
63.4
|
|||
Depreciation
and amortization
|
27.7
|
29.2
|
|||||
Write-off
of intangible and long-lived assets
|
9.7
|
-
|
|||||
Amortization
of bond premium
|
2.5
|
3.2
|
|||||
Net
realized investment losses (gains )
|
0.6
|
(1.1
|
)
|
||||
Deferred
income tax expense
|
2.4
|
7.4
|
|||||
Change
in assets and liabilities, net of businesses acquired:
|
|||||||
Accounts
and notes receivable
|
(9.6
|
)
|
(8.4
|
)
|
|||
Income
taxes receivable/payable
|
(40.1
|
)
|
7.8
|
||||
Accounts
payable and accrued expenses
|
(35.5
|
)
|
8.9
|
||||
Policy
and contract claims
|
16.4
|
22.4
|
|||||
Deferred
service arrangements
|
3.8
|
(9.5
|
)
|
||||
Other
|
2.2
|
(1.8
|
)
|
||||
Net
cash provided by operating activities
|
29.4
|
121.5
|
|||||
Cash
flows from investing activities:
|
|||||||
Purchase
of title plant, property and equipment, net
|
(28.5
|
)
|
(15.9
|
)
|
|||
Purchase
of business, net of cash acquired
|
(8.7
|
)
|
(25.7
|
)
|
|||
Investments
in unconsolidated subsidiaries
|
(0.8
|
)
|
(11.2
|
)
|
|||
Change
in cash surrender value of life insurance
|
(1.7
|
)
|
(1.6
|
)
|
|||
Change
in short-term investments
|
69.2
|
(10.2
|
)
|
||||
Cost
of investments acquired:
|
|||||||
Fixed
maturities
|
(230.3
|
)
|
(209.1
|
)
|
|||
Equity
securities
|
(14.1
|
)
|
(7.0
|
)
|
|||
Proceeds
from investment sales or maturities:
|
|||||||
Fixed
maturities
|
187.3
|
157.3
|
|||||
Equity
securities
|
12.4
|
6.2
|
|||||
Net
change in federal funds sold
|
(6.3
|
)
|
4.2
|
||||
Change
in loans receivable
|
(14.3
|
)
|
(42.7
|
)
|
|||
Net
cash used in investing activities
|
(35.8
|
)
|
(155.7
|
)
|
|||
Cash
flows from financing activities:
|
|||||||
Net
change in deposits
|
41.4
|
40.9
|
|||||
Proceeds
from the exercise of options and incentive plans
|
1.4
|
5.5
|
|||||
Tax
benefit of stock options exercised
|
0.6
|
-
|
|||||
Cost
of common shares repurchased
|
(24.6
|
)
|
(9.1
|
)
|
|||
Dividends
paid
|
(6.2
|
)
|
(5.3
|
)
|
|||
Proceeds
from issuance of notes payable
|
11.9
|
12.4
|
|||||
Payments
on notes payable
|
(26.3
|
)
|
(5.2
|
)
|
|||
Net
cash (used in) provided by financing activities
|
(1.8
|
)
|
39.2
|
||||
Net
(decrease) increase in cash
|
(8.2
|
)
|
5.0
|
||||
Cash
at beginning of period
|
89.1
|
73.0
|
|||||
Cash
at end of period
|
$
|
80.9
|
$
|
78.0
|
Common
Stock
|
Accumulated
Other Comprehensive
|
Retained
|
Total
Shareholders’
|
|||||||||||||
Shares
|
Amounts
|
Income
(Loss)
|
Earnings
|
Equity
|
||||||||||||
BALANCE
-
December 31, 2004 (as restated)
|
18.0
|
$
|
491.5
|
$
|
(17.6
|
)
|
$
|
723.8
|
$
|
1,197.7
|
||||||
Comprehensive
income:
|
||||||||||||||||
Net
income
|
-
|
-
|
-
|
63.4
|
63.4
|
|||||||||||
Other
comprehensive loss
|
||||||||||||||||
Net
unrealized loss on securities - net of tax benefit $(1.9)
|
-
|
-
|
(3.9
|
)
|
-
|
(3.9
|
)
|
|||||||||
59.5
|
||||||||||||||||
Purchase
of call options, net of tax
|
-
|
(0.7
|
)
|
-
|
-
|
(0.7
|
)
|
|||||||||
Common
stock retired
|
(0.2
|
)
|
(9.1
|
)
|
-
|
-
|
(9.1
|
)
|
||||||||
Stock
options and incentive plans
|
0.3
|
7.5
|
-
|
-
|
7.5
|
|||||||||||
Common
dividends ($0.30/share)
|
-
|
-
|
-
|
(5.3
|
)
|
(5.3
|
)
|
|||||||||
BALANCE
- June 30, 2005 (as restated)
|
18.1
|
489.2
|
(21.5
|
)
|
781.9
|
1,249.6
|
||||||||||
BALANCE
-
December 31, 2005
|
17.3
|
443.1
|
(42.3
|
)
|
877.7
|
1,278.5
|
||||||||||
Comprehensive
income:
|
||||||||||||||||
Net
income
|
-
|
-
|
-
|
49.3
|
49.3
|
|||||||||||
Other
comprehensive loss
|
||||||||||||||||
Net
unrealized loss on securities - net of tax benefit $(7.9)
|
-
|
-
|
(14.7
|
)
|
-
|
(14.7
|
)
|
|||||||||
34.6
|
||||||||||||||||
Common
stock retired
|
(0.4
|
)
|
(24.6
|
)
|
-
|
-
|
(24.6
|
)
|
||||||||
Stock
options and incentive plans
|
0.2
|
7.1
|
-
|
-
|
7.1
|
|||||||||||
Common
dividends ($0.36/share)
|
-
|
-
|
-
|
(6.2
|
)
|
(6.2
|
)
|
|||||||||
BALANCE
- JUNE 30,
2006
|
17.1
|
$
|
425.6
|
$
|
(57.0
|
)
|
$
|
920.8
|
$
|
1,289.4
|
||||||
The
accompanying unaudited consolidated financial statements have been
prepared in accordance with accounting principles generally accepted
in
the United States for interim financial information and with the
instructions to Form 10-Q and Rule 10-01 of Regulation S-X. They
do not
include all information and notes required by generally accepted
accounting principles for complete financial statements. These statements
should be read in conjunction with the Consolidated Financial Statements
and notes thereto included in the Annual Report on Form 10-K of
LandAmerica Financial Group, Inc. for the year ended December 31,
2005. In
the opinion of management, all adjustments (including normal and
recurring
adjustments) considered neces-sary for a fair presentation of this
infor-mation have been reflected. Operating results for the interim
periods are not necessarily indicative of results for a full
year.
|
When
used in these notes, the terms “LandAmerica,” “we,” “us” or “our” means
LandAmerica Financial Group, Inc. and all entities included in our
Consolidated Financial Statements.
|
Reclassification
|
Certain
2005 amounts have been reclassified to conform to the 2006
presentation.
|
For
the Six Months Ended
June
30, 2005
|
|||||||
As
Previously
Reported
|
As
Restated
|
||||||
(In
millions)
|
|||||||
Effects
on Consolidated Balance Sheet:
|
|||||||
Deferred
income taxes
|
$
|
146.3
|
$
|
118.2
|
|||
Total
assets
|
3,422.0
|
3,393.9
|
|||||
Policy
and contract claims
|
746.4
|
666.2
|
|||||
Total
liabilities
|
2,224.5
|
2,144.3
|
|||||
Shareholders’
equity
|
1,197.5
|
1,249.6
|
For
the Three Months Ended
June
30, 2005
|
For
the Six Months Ended
June
30, 2005
|
||||||||||||
As
Previously
Reported
|
As
Restated
|
As
Previously
Reported
|
As
Restated
|
||||||||||
(In
millions, except per share amounts)
|
|||||||||||||
Effects
on Consolidated Statements of Operations:
|
|||||||||||||
Provision
for policy and contract claims
|
$
|
50.9
|
$
|
46.8
|
$
|
100.1
|
$
|
91.5
|
|||||
Income
before income taxes
|
47.5
|
51.6
|
96.8
|
105.4
|
|||||||||
Income
taxes
|
19.9
|
21.4
|
38.9
|
42.0
|
|||||||||
Net
income
|
27.6
|
30.2
|
57.9
|
63.4
|
|||||||||
Net
income per common share
|
$
|
1.57
|
$
|
1.72
|
$
|
3.28
|
$
|
3.60
|
|||||
Net
income per common share assuming dilution
|
$
|
1.56
|
$
|
1.70
|
$
|
3.25
|
$
|
3.56
|
Stock-Based
Compensation
|
Pro
forma
|
|||||||
Three
Months Ended
June
30, 2005
|
Six
Months Ended
June
30, 2005
|
||||||
(as
restated)
|
|||||||
(In
millions, except per share amounts)
|
|||||||
Net
income, as reported
|
$
|
30.2
|
$
|
63.4
|
|||
Add:
Stock-based employee compensation included in reported net income,
net of
related tax effects
|
0.7
|
1.2
|
|||||
Deduct:
Total stock-based employee compensation expense determined under
fair
value based method for all awards, net of related tax
effects
|
(0.7
|
)
|
(1.3
|
)
|
|||
Pro
forma net income
|
$
|
30.2
|
$
|
63.3
|
|||
Earnings
per share:
|
|||||||
Basic
- as reported
|
$
|
1.72
|
$
|
3.60
|
|||
Basic
- pro forma
|
$
|
1.72
|
$
|
3.60
|
|||
Diluted
- as reported
|
$
|
1.70
|
$
|
3.56
|
|||
Diluted
- pro forma
|
$
|
1.70
|
$
|
3.55
|
Three
Months Ended June 30,
|
Six
Months Ended June 30,
|
||||||||||||
2006
|
2005
|
2006
|
2005
|
||||||||||
(as
restated)
|
(as
restated)
|
||||||||||||
(In
millions, except per share amounts)
|
|||||||||||||
Numerator:
|
|||||||||||||
Net
income - numerator for basic and diluted earnings per
share
|
$
|
35.6
|
$
|
30.2
|
$
|
49.3
|
$
|
63.4
|
|||||
Denominator:
|
|||||||||||||
Weighted
average shares - denominator for basic earnings per share
|
16.7
|
17.6
|
16.9
|
17.6
|
|||||||||
Effect
of dilutive securities:
|
|||||||||||||
Convertible
debt
|
0.5
|
-
|
0.5
|
-
|
|||||||||
Employee
stock options
|
0.1
|
0.2
|
0.1
|
0.2
|
|||||||||
Denominator
for diluted earnings per share
|
17.3
|
17.8
|
17.5
|
17.8
|
|||||||||
Basic
earnings per common share
|
$
|
2.13
|
$
|
1.72
|
$
|
2.92
|
$
|
3.60
|
|||||
Diluted
earnings per common share
|
$
|
2.06
|
$
|
1.70
|
$
|
2.82
|
$
|
3.56
|
June
30, 2006
|
|||||||||||||||||||
Less
Than 12 Months
|
12
Months or More
|
Total
|
|||||||||||||||||
Fair
Value
|
Gross
Unrealized
Losses
|
Fair
Value
|
Gross
Unrealized
Losses
|
Fair
Value
|
Gross
Unrealized
Losses
|
||||||||||||||
(In
millions)
|
|||||||||||||||||||
Fixed
maturities:
|
|||||||||||||||||||
U.S.
treasuries and U.S. government corporations and agencies
|
$
|
16.1
|
$
|
(0.2
|
)
|
$
|
5.6
|
$
|
(0.2
|
)
|
$
|
21.7
|
$
|
(0.4
|
)
|
||||
States
and political subdivisions
|
164.5
|
(3.3
|
)
|
44.6
|
(1.8
|
)
|
209.1
|
(5.1
|
)
|
||||||||||
Fixed
maturities issued by foreign governments
|
3.0
|
(0.1
|
)
|
0.3
|
-
|
3.3
|
(0.1
|
)
|
|||||||||||
Public
utilities
|
3.2
|
(0.1
|
)
|
0.4
|
-
|
3.6
|
(0.1
|
)
|
|||||||||||
Corporate
securities
|
300.0
|
(9.0
|
)
|
77.1
|
(2.8
|
)
|
377.1
|
(11.8
|
)
|
||||||||||
Mortgage-backed
securities
|
87.0
|
(3.1
|
)
|
71.8
|
(3.2
|
)
|
158.8
|
(6.3
|
)
|
||||||||||
Preferred
stock
|
2.1
|
-
|
0.5
|
(0.1
|
)
|
2.6
|
(0.1
|
)
|
|||||||||||
Equity
securities
|
31.9
|
(3.5
|
)
|
0.6
|
(0.2
|
)
|
32.5
|
(3.7
|
)
|
||||||||||
Total
|
$
|
607.8
|
$
|
(19.3
|
)
|
$
|
200.9
|
$
|
(8.3
|
)
|
$
|
808.7
|
$
|
(27.6
|
)
|
Three
Months Ended June 30,
|
|||||||||||||
Pension
Benefits
|
Other
Benefits
|
||||||||||||
2006
|
2005
|
2006
|
2005
|
||||||||||
(In
millions)
|
|||||||||||||
Components
of net pension expense:
|
|||||||||||||
Service
cost
|
$
|
-
|
$
|
-
|
$
|
0.2
|
$
|
0.2
|
|||||
Interest
cost
|
3.6
|
3.5
|
0.9
|
0.8
|
|||||||||
Expected
return on plan assets
|
(4.5
|
)
|
(3.9
|
)
|
-
|
-
|
|||||||
Amortization
of unrecognized transition obligation
|
-
|
-
|
0.3
|
0.3
|
|||||||||
Prior
service cost recognized
|
-
|
-
|
0.1
|
0.1
|
|||||||||
Recognized
loss
|
1.8
|
1.0
|
0.2
|
-
|
|||||||||
Gain
or loss due to settlement or curtailment
|
1.0
|
2.2
|
-
|
-
|
|||||||||
Net
pension expense
|
$
|
1.9
|
$
|
2.8
|
$
|
1.7
|
$
|
1.4
|
Six
Months Ended June 30,
|
|||||||||||||
Pension
Benefits
|
Other
Benefits
|
||||||||||||
2006
|
2005
|
2006
|
2005
|
||||||||||
(In
millions)
|
|||||||||||||
Components
of net pension expense:
|
|||||||||||||
Service
cost
|
$
|
-
|
$
|
-
|
$
|
0.5
|
$
|
0.4
|
|||||
Interest
cost
|
7.2
|
7.0
|
1.8
|
1.6
|
|||||||||
Expected
return on plan assets
|
(9.0
|
)
|
(7.8
|
)
|
-
|
-
|
|||||||
Amortization
of unrecognized transition obligation
|
-
|
-
|
0.6
|
0.6
|
|||||||||
Prior
service cost recognized
|
-
|
-
|
0.2
|
0.2
|
|||||||||
Recognized
loss
|
3.6
|
2.0
|
0.3
|
-
|
|||||||||
Gain
or loss due to settlement or curtailment
|
2.0
|
2.2
|
-
|
-
|
|||||||||
Net
pension expense
|
$
|
3.8
|
$
|
3.4
|
$
|
3.4
|
$
|
2.8
|
On
December 31, 2004, we froze the accumulation of benefits available
under
our principal pension plan.
|
Weighted-average
assumptions used to determine net cost for each of the three and
six-month
periods ending June 30, 2006, and 2005 are as
follows:
|
Pension
Benefits
|
Other
Benefits
|
||||||||||||
2006
|
2005
|
2006
|
2005
|
||||||||||
Discount
rate
|
5.50
|
%
|
6.00
|
%
|
5.50
|
%
|
6.00
|
%
|
|||||
Expected
return on plan assets
|
8.25
|
%
|
8.00
|
%
|
N/A
|
N/A
|
|||||||
Rate
of compensation increase
|
N/A
|
N/A
|
3.50
|
%
|
3.50
|
%
|
7.
|
SHAREHOLDERS’
EQUITY
|
8.
|
WRITE-OFF
OF INTANGIBLE AND OTHER LONG-LIVED
ASSETS
|
9.
|
SEGMENT
INFORMATION
|
Three
Months Ended June 30,
|
||||||||||||||||
Operating
Revenue
|
Personnel
Cost
|
Depreciation
|
Amortization
of Intangible
Assets
|
Income
Before
Taxes
|
||||||||||||
(In
millions)
|
||||||||||||||||
2006
|
||||||||||||||||
Title
Operations
|
$
|
882.0
|
$
|
240.6
|
$
|
5.6
|
$
|
3.1
|
$
|
72.8
|
||||||
Lender
Services
|
59.7
|
23.5
|
1.2
|
2.6
|
6.5
|
|||||||||||
Financial
Services
|
0.3
|
0.6
|
-
|
0.1
|
4.4
|
|||||||||||
Corporate
and Other
|
29.1
|
24.1
|
0.5
|
0.5
|
(26.3
|
)
|
||||||||||
Total
|
$
|
971.1
|
$
|
288.8
|
$
|
7.3
|
$
|
6.3
|
$
|
57.4
|
||||||
2005
(as restated)
|
||||||||||||||||
Title
Operations
|
$
|
861.7
|
$
|
241.3
|
$
|
5.2
|
$
|
3.0
|
$
|
61.8
|
||||||
Lender
Services
|
64.9
|
22.3
|
1.1
|
3.8
|
8.5
|
|||||||||||
Financial
Services
|
0.3
|
0.6
|
-
|
0.1
|
2.8
|
|||||||||||
Corporate
and Other
|
25.5
|
18.7
|
1.4
|
0.8
|
(21.5
|
)
|
||||||||||
Total
|
$
|
952.4
|
$
|
282.9
|
$
|
7.7
|
$
|
7.7
|
$
|
51.6
|
Six
Months Ended June 30,
|
||||||||||||||||
Operating
Revenue
|
Personnel
Cost
|
Depreciation
|
Amortization
of
Intangible
Assets
|
Income
Before
Taxes
|
||||||||||||
(In
millions)
|
||||||||||||||||
2006
|
||||||||||||||||
Title
Operations
|
$
|
1,701.0
|
$
|
468.8
|
$
|
11.2
|
$
|
5.5
|
$
|
123.4
|
||||||
Lender
Services
|
117.5
|
48.1
|
2.3
|
5.2
|
8.8
|
|||||||||||
Financial
Services
|
0.5
|
1.2
|
-
|
0.1
|
8.4
|
|||||||||||
Corporate
and Other
|
54.4
|
47.4
|
1.6
|
1.8
|
(64.7
|
)
|
||||||||||
Total
|
$
|
1,873.4
|
$
|
565.5
|
$
|
15.1
|
$
|
12.6
|
$
|
75.9
|
||||||
2005
(as restated)
|
||||||||||||||||
Title
Operations
|
$
|
1,577.2
|
$
|
449.9
|
$
|
10.1
|
$
|
5.3
|
$
|
108.2
|
||||||
Lender
Services
|
143.1
|
44.3
|
2.1
|
7.6
|
34.3
|
|||||||||||
Financial
Services
|
0.4
|
1.2
|
-
|
0.2
|
5.7
|
|||||||||||
Corporate
and Other
|
45.2
|
34.8
|
2.3
|
1.6
|
(42.8
|
)
|
||||||||||
Total
|
$
|
1,765.9
|
$
|
530.2
|
$
|
14.5
|
$
|
14.7
|
$
|
105.4
|
Three
Months Ended June 30,
|
|||||||||||||
2006
|
2005
|
||||||||||||
(as
restated)
|
|||||||||||||
(Dollars
in millions)
|
|||||||||||||
Title
Operations
|
|||||||||||||
Direct
Operations
|
$
|
376.7
|
38.8
|
%
|
$
|
397.5
|
41.7
|
%
|
|||||
Agency
Operations
|
505.3
|
52.0
|
464.2
|
48.8
|
|||||||||
882.0
|
90.8
|
861.7
|
90.5
|
||||||||||
Lender
Services
|
59.7
|
6.2
|
64.9
|
6.8
|
|||||||||
Financial
Services
|
0.3
|
-
|
0.3
|
-
|
|||||||||
Corporate
and Other
|
29.1
|
3.0
|
25.5
|
2.7
|
|||||||||
Total
|
$
|
971.1
|
100.0
|
%
|
$
|
952.4
|
100.0
|
%
|
Six
Months Ended June 30,
|
|||||||||||||
2006
|
2005
|
||||||||||||
(as
restated)
|
|||||||||||||
(Dollars
in millions)
|
|||||||||||||
Title
Operations
|
|||||||||||||
Direct
Operations
|
$
|
717.5
|
38.3
|
%
|
$
|
706.1
|
40.0
|
%
|
|||||
Agency
Operations
|
983.5
|
52.5
|
871.1
|
49.3
|
|||||||||
1,701.0
|
90.8
|
1,577.2
|
89.3
|
||||||||||
Lender
Services
|
117.5
|
6.3
|
143.1
|
8.1
|
|||||||||
Financial
Services
|
0.5
|
-
|
0.4
|
-
|
|||||||||
Corporate
and Other
|
54.4
|
2.9
|
45.2
|
2.6
|
|||||||||
Total
|
$
|
1,873.4
|
100.0
|
%
|
$
|
1,765.9
|
100.0
|
%
|
Three
Months Ended June 30,
|
|||||||||||||
2006
|
2005
|
||||||||||||
(as
restated)
|
|||||||||||||
(Dollars
in millions)
|
|||||||||||||
Title
Operations
|
$
|
240.6
|
83.3
|
%
|
$
|
241.3
|
85.3
|
%
|
|||||
Lender
Services
|
23.5
|
8.1
|
22.3
|
7.9
|
|||||||||
Financial
Services
|
0.6
|
0.2
|
0.6
|
0.2
|
|||||||||
Corporate
and Other
|
24.1
|
8.4
|
18.7
|
6.6
|
|||||||||
Total
|
$
|
288.8
|
100.0
|
%
|
$
|
282.9
|
100.0
|
%
|
Six
Months Ended June 30,
|
|||||||||||||
2006
|
2005
|
||||||||||||
(as
restated)
|
|||||||||||||
(Dollars
in millions)
|
|||||||||||||
Title
Operations
|
$
|
468.8
|
82.9
|
%
|
$
|
449.9
|
84.8
|
%
|
|||||
Lender
Services
|
48.1
|
8.5
|
44.3
|
8.4
|
|||||||||
Financial
Services
|
1.2
|
0.2
|
1.2
|
0.2
|