Brooklyn-based Allcity Insurance Company reported a net loss of $18,048,000 or $2.55 per share for the year ended December 31, 2001 compared to a net loss of $30,800,000 or $4.35 per share for the comparable 2000 period.
The company, which is part of the Empire Group, is currently in the process of a voluntary liquidation, undertaken by management as the best course of action to follow after an exploration of other alternatives. It announced that based on GAAP principles its combined ratio for the year ended December 31, 2001 was 261.7%, compared to and 193.1% for the year ended December 31, 2000.
The announcement indicated that “The Group will only accept business that it is obligated to accept by contract or New York insurance law; it will not engage in any other business activities except for its claims runoff operations.” It expects this process to be “substantially complete by 2005.”
It further warned that “No assurance can be given that the Company’s shareholders will be able to receive any value at the conclusion of the voluntary liquidation of its operations.”|”allcity, posts, $18, million, loss, 2001
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