A.M. Best Places Ratings of Mutual Savings Life and Mutual Savings Fire Under Review

Business Wire, Nov 13, 2007

OLDWICK, N.J. -- A.M. Best Co. has placed the financial strength rating (FSR) of B- (Fair) and the issuer credit rating (ICR) of "bb-" of Mutual Savings Life Insurance Company (Mutual Savings Life) (Decatur, AL) and the FSR of C (Marginal) and ICR of "b" of Mutual Savings Fire Insurance Company (Mutual Savings Fire) (Decatur, AL) under review with positive implications. These rating actions follow the announcement that the companies' parent, Primesco, Inc. (Primesco) (Decatur, AL), has reached an agreement in principle to be acquired by Unitrin, Inc., (Unitrin) (Chicago, IL) (NYSE: UTR).

On November 12, 2007, Unitrin announced that it had reached an agreement to acquire Primesco in a cash transaction valued at approximately $96 million, subject to certain adjustments at closing. The proposed acquisition of Primesco and its wholly owned life/health and property/casualty subsidiaries by Unitrin should provide Mutual Savings Life and Mutual Savings Fire access to greater levels of financial flexibility and distribution resources through a larger and stronger parent organization.

The addition of these entities is also expected to expand Unitrin's distribution and increase its market share in those markets presently served by the Primesco companies. Mutual Savings Life primary focus is on the home service and limited supplemental health benefits segments mainly in Alabama.

The transaction remains subject to execution of definitive agreements, approvals by Primesco's shareholders and regulatory review and approval. A.M. Best anticipates the acquisition will be completed in first quarter 2008.

Unitrin's FSR and ICRs are unaffected by this proposed transaction.

For Best's Ratings, an overview of the rating process and rating methodologies, please visit www.ambest.com/ratings.> Founded in 1899, A.M. Best Company is a global full-service credit rating organization dedicated to serving the financial and health care service industries, including insurance companies, banks, hospitals and health care system providers. For more information, visit www.ambest.com.