21ST CENTURY DECLINE SEEN.Byline: Chris CHRIS Chemical Hazards Response Information System (US DoD) CHRIS California Historical Resources Information System CHRIS Computerized Human Resources Information System CHRIS Command Human Resources Intelligence System Sieroty Staff Writer WOODLAND HILLS - 21st Century Insurance Group is expected to report a 35 percent drop in quarterly earnings today, partly due to the highly competitive nature of the auto insurance business in California California (kăl'ĭfôr`nyə), most populous state in the United States, located in the Far West; bordered by Oregon (N), Nevada and, across the Colorado River, Arizona (E), Mexico (S), and the Pacific Ocean (W). . The nation's ninth-largest publicly traded insurer An individual or company who, through a contractual agreement, undertakes to compensate specified losses, liability, or damages incurred by another individual. An insurer is frequently an insurance company and is also known as an underwriter. is also expected to post a 23 percent decline in earnings for the year. Based on a consensus estimate of six analysts surveyed by First Call Corp., 21st Century is expected to report net income of 25 cents per share Cents per share The amount of a mutual fund's dividend or capital gains distributions that a shareholder will receive for each share owned. for the fourth-quarter ended Dec. 31, compared with 39 cents a share in the year-earlier period. For all of 1999, analysts expect the insurer to earn $1.20 per share, compared with $1.56 in 1998. Ric Hill, a spokesman for the company, declined to comment on the estimates or to discuss the company's business over the last year. The auto insurance business in California has been very competitive forcing insurance companies to cut rates, said Clifford Clif·ford , Clark McAdams 1906-1998. American lawyer and politician who, as chief counsel (1946-1950) to President Harry S. Truman, influenced U.S. foreign policy. During the Vietnam War he served as U.S. secretary of defense (1968-1969). Gallant, a stock analyst with Hartford Hartford, city (1990 pop. 139,739), state capital, Hartford co., central Conn., on the west bank of the Connecticut River; settled as Newtown 1635–36 on the site of a Dutch trading post (1633; abandoned 1654), inc. 1784. , Conn.-based Conning & Co. ``Growth has been difficult as the cost of repairing cars and medical expenses has risen, putting pressure on the bottom line,'' Galllant said. Michael Dion, an analyst with San Francisco-based Hoefer & Arnett, agreed, saying aggressive advertising and lower rates of other insurance companies in California have had a big impact on earnings. ``I think you might see a turn for the better by midyear'' as insurance companies petition the state for rate increases, Dion said. Shares of 21st Century closed down 75 cents on Wednesday to $18.813. |
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