Unitrin comments on termination of FTC investigation

Business Wire, August 8, 1995

CHICAGO--(BUSINESS WIRE)--August 8, 1995--Unitrin Inc. (NASDAQ NMS Symbol UNIT) stated that the FTC has advised counsel for both Unitrin and American General that the FTC has decided that no further action is warranted at this time in connection with the FTC's investigation to determine whether the proposed acquisition of Unitrin by American General may violate the federal antitrust laws.

The FTC has also advised counsel that its decision to close the investigation should not be construed as a determination that a violation may not have occurred just as the pendency of an investigation should not be construed as a determination that a violation has occurred.

In July 1994 American General made an unsolicited merger proposal to Unitrin and subsequently filed under the Hart-Scott-Rodino Act to permit the purchase of Unitrin's stock in open market or private transactions. Unitrin's Board of Directors rejected American General's offer and has indicated its view that Unitrin has an excellent future and that the shareholders would be better served by Unitrin remaining as an independent company.

Unitrin noted that state statutes applicable to its insurance businesses impose requirements for regulatory approval by state insurance regulators for any acquisition of more than 10% of Unitrin stock.

Unitrin Inc. is engaged in life and health insurance through United Insurance Company of America and its subsidiaries; property and casualty insurance through Trinity Universal Insurance Company and its subsidiaries; and the consumer finance business through Fireside Thrift Co.

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