FRONTIER PACIFIC LIQUIDATED

December 24, 2001

Frontier Pacific Insurance Company, which was conserved because it is insolvent, was finally given the Liquidation Order on Dec. 3. Frontier Pacific, which is domiciled in California, is headquartered in San Diego and is a wholly owned subsidiary of Frontier Insurance Company, a New York domiciled company. The stock of Frontier Insurance Company is owned by Frontier Insurance Group, Inc., an insurance holding company domiciled in Delaware. All policies will be effectively cancelled on Jan. 2, 2002. The company wrote private passenger auto liability, auto physical damage, licensing, surety, and bail bonds. Frontier Pacific also wrote a few workers’ compensation policies.