ACCEL International Corp. negotiates settlement for satisfaction of judgment.DUBLIN, Ohio--(BUSINESS WIRE)--May 16, 1996--ACCEL International Corp. ("ACCEL ACCEL Accelerate ACCEL Accelerometer ACCEL Accelerando (Music, Gradually Increasing in Speed) ACCEL American College of Cardiology Extended Learning ") (NASDAQ/NMS:ACLE ACLE Alarm and Control Enhanced (NEC) ACLE Association for Continuing Legal Education ) announced today that an agreement had been reached to settle the $5.16 million judgment against Homeowners Marketing Services Inc. ("HMS HMS abbr. Her (or His) Majesty's Ship HMS (Brit) abbr (= His (or Her) Majesty's Ship) → Namensteil von Schiffen der Kriegsmarine "), for $4.4 million in cash. An Agreement for Satisfaction of Judgment was entered into between and amongst ACCEL, Acceleration National Insurance Co. ("ANIC ANIC Australian National Insect Collection ANIC American National Insurance Company ANIC Anosmia, Isolated Congenital ANIC ATM Network Interface Card (Cisco) "), a wholly owned subsidiary Wholly Owned Subsidiary A subsidiary whose parent company owns 100% of its common stock. Notes: In other words, the parent company owns the company outright and there are no minority owners. of ACCEL, HMS and Homeowners Group Inc. ("HOMG HOMG Hypomagnesemia "), the parent company for HMS. The settlement agreement was negotiated during the time discussions were concluded between HOMG and The Cross Country Group Inc., Boston, for Cross Country to acquire HOMG pursuant to a transaction which was announced on May 15, 1996. The payment of the settlement amount is conditioned on the HOMG/Cross Country transaction closing following approval by HOMG stockholders and regulators. A closing on the HOMG/Cross Country transaction is expected to occur on or before Sept. 30, 1996. Thomas H. Friedberg, ACCEL's chairman, president and chief executive officer, indicated he was pleased to announce that a settlement had been reached. He said, "Settling this matter without further legal activity and expense is well worth the difference between the judgment and the settlement amount. Additionally, it is one more part of our past that has been put behind us. When and if ultimately collected, the money will be used to strengthen our two insurance companies so that we can continue to develop both our continuing and new programs." He concluded, "Until the uncertainties of the HOMG/Cross Country transaction are removed and payment has been received, we will not recognize any part of the settlement as income nor will we offer any projections at this time as to the financial effects thereof." ACCEL International Corp. is a Dublin based holding company that provides specialty insurance products and services through its insurance subsidiaries operating throughout the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. . CONTACT: ACCEL International Corp., Dublin Nicholas Z. Alexander, 614/764-7180 |
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