August, 2008
ARI SECOND QUARTER AND SIX MONTH 2008 FINANCIAL RESULTS
Lawrenceville, NJ August 11, 2008 – ARI Insurance Companies today reported net income for the second quarter of 2008 of $272,000 and $1,129,000 for the six months ended June 30, 2008, compared to $1,130,000 in the second quarter 2007 and $2,317,000 for the six month period in 2007. The decline in net income was due to an increased level of commercial automobile physical damage losses and a lower premium volume. Commercial automobile thefts totaled more than $580,000 in the quarter which is significantly above prior year levels. Karen S. Fulton, ARI President and CEO said, "We remain committed to pricing integrity during this highly competitive insurance market. While we expect a short term decline in our premium volume this builds value for the long term."
Net investment income was $815,000 for the second quarter of 2008 as compared to $755,000 for the second quarter of 2007. For the six months ended June 30, 2008, net investment income totaled $1,732,000 compared with net investment income for the period ended June 30, 2007 of $1,461,000. Additionally, the Company recognized $117,000 in realized gains during the quarter ended June 30, 2007 and no realized gains were realized in the six months ended June 30, 2008.
ARI specializes in commercial automobile insurance and will continue to differentiate itself in this marketplace.
