NYACK, N.Y.--(BUSINESS WIRE)--
On July 3, 2012, pursuant to a Stock Purchase Agreement dated February
23, 2012 as amended on July 3, 2012 with GALAC Holding Company, the
Seller and an affiliate of the American Financial Group, Inc.,
Presidential Life Corporation (the “Company”) (NASDAQ: PLFE) completed
the purchase of Great American Life Assurance Company (“GALAC”), an Ohio
domiciled insurance company with approximately $5.60 million in
statutory capital and surplus, for cash of $7.04 million.
Upon purchase, GALAC’s statutory capital and surplus principally
consists of cash, short-term investments, and bonds with minimal
liabilities as policyholder obligations related to in-force contracts
are fully reinsured. The purchase price is subject to adjustment for the
differential between final statutory capital and surplus at June 30,
2012 and $5.60 million. GALAC maintains licenses to write life and
annuity business in 38 states plus the District of Columbia. The Company
is obtaining the aforesaid licenses and statutory capital and surplus as
part of this transaction.
About Presidential Life
Presidential Life Corporation, through its wholly owned subsidiary
Presidential Life Insurance Company, is a provider of fixed deferred and
immediate annuities, life insurance and accident & health insurance
products to financial service professionals and their clients.
Headquartered in Nyack, New York, the Company was founded in 1969 and
markets its products in 50 states and the District of Columbia. For more
information, visit our website www.presidentiallife.com.
Presidential Life CorporationDonald Barnes, 845-358-2300, ext. 250President
and Chief Executive OfficerorP.B. (Pete) Pheffer,
845-358-2300, ext. 205Senior Vice President and Chief Financial
Source: Presidential Life Corporation