BEST PLACES RATING FOR ATLANTIC PREFERRED UNDER REVIEW:

A.M. Best Co. has placed the “B+” (Very Good) rating of Atlantic Preferred Insurance Company (Tampa, Fla.), under review with negative implications. This action reflects the decline in surplus recorded in the third quarter of 2004 due to significant catastrophe activity and the deteriorated risk-adjusted capitalization of its affiliate, Southern Family Insurance Company. Accordingly, A.M. Best believes the overall financial flexibility of the organization has been negatively impacted.