Kingsway to Sell Stake in USA Insurance Group

Canada’s Kingsway Financial Services Inc. announced that it has sold its minority stake in USA Insurance Group for U.S.$19.6 million to BISYS Group Inc. of New York

Kingsway owned around 25 percent of the outstanding shares of USA Insurance. It said the “net proceeds of the sale, which was comprised of cash and stock of BISYS, amounted to approximately US$19.6 million which will generate a realized gain to Kingsway of approximately US$14.3 million.”

After tax benefits are expected to be approximately US$9.4 million which Kingsway said would be included in its fourth quarter 2003 results.

“USA Insurance Group is based in Florida and is a managing general agency serving the commercial property and casualty insurance marketplace specializing in commercial automobile lines, primarily commercial trucking, charter buses, limousines and contract school buses,” said the announcement.