400 Second Avenue South

Minneapolis, Minnesota  55401-2499   

(612)-371-1111

1-800-328-4441

(612)-371-1124 FAX

BULLETIN   

TO:             All Company Locations and Agency Managers

 

FROM:        R. Chipinski

                   J. Cleaveland

 

DATE:          December 6, 2002

 

SUBJECT:    LENDER ALERT 

 

 

As you may be aware, Conseco Finance Corp. (“CFC”) has been experiencing financial difficulties.  An article in the St. Paul Pioneer Press on Thursday of this week states that CFC has “edged closer to a widely anticipated bankruptcy filing as the struggling company said Wednesday it has defaulted on $44.7 million in guaranteed loan payments.”  

With the apparent further deterioration in CFC’s financial condition, please be advised that all future closings involving CFC as the lender must be funded with a wire transfer.  No funds are to be disbursed on any these transactions until CFC’s wire transfer has been received into our escrow account. 

Agency managers are also hereby requested to strongly recommend to agents that they also close these transactions only upon the receipt of a CFC wire transfer. 

If any questions should arise or if you experience any difficulties with the settlement of a CFC transaction, please contact your manager or state counsel immediately.   

This Alert is confidential and intended only for employees and agents of Old Republic National Insurance Company and its subsidiaries/affiliates. Further distribution is expressly prohibited.