Conseco Responds to ``Heard on the Street'' Article.

CARMEL, Ind.--(BUSINESS WIRE)--March 23, 1999--Stephen C. Hilbert, chairman of Conseco, Inc. (NYSE:CNC), today issued the following statement in response to the "Heard on the Street" column in this morning's edition of The Wall Street Journal:

"'Heard on the Street' columns, by definition, feature spicy opinion and pot-stirring rhetoric. While considering today's article, we think readers are also entitled to a few facts.

"Our results have been solid. Our outlook is positive. We are, indeed, 'ebullient' about Conseco's future, as the article states. As we told the Journal, we would be proud to put our internal growth numbers up against anyone in our industry: -0-

--   In 1998, our finance volume grew by 33 percent and our collected
     insurance premiums rose by more than 8 percent.
--   Our goals for 1999 are to grow insurance collections by at least
     8 percent; grow managed finance receivables by at least 25
     percent; and to reach $100 billion of managed financial assets by
     year-end, up 15 percent over 1998.
--   Thirteen out of 14 Wall Street analysts disagree with the
     analysis cited in the article. The article focuses on the
     comments of the one analyst who has a neutral rating on our
     stock. It largely ignores the comments of the 13 other analysts
     who follow the company and currently rate our stock as either a
     buy or a strong buy, with price targets ranging from $39 to $64
     and averaging $49.
--   Conseco's most pessimistic analyst expects the company to earn
     $3.75 per share from operations in 1999 without acquisitions.
     Hitting his earnings target would represent 19 percent internal
     growth over the $3.15 we earned in 1998. Hitting the current
     consensus analyst earnings estimate (according to First Call) of
     $4.02 would represent 28 percent internal growth in 1999.

"Our capital strength is excellent. The article focuses on several routine and immaterial capital transactions among Conseco subsidiaries and between subsidiaries and the holding company, thereby obscuring the following facts: -0-

--   Conseco's 1998 cash flow from operations (after tax and interest)
     was $980 million - up 62 percent over 1997 and more than adequate
     to meet our obligations and fund our growth.
--   Conseco's capital structure at the end of 1998 consisted of 57
     percent equity, 27 percent debt and 16 percent of preferred
     securities. As previously stated, we anticipate that normal
     operating results will decrease our debt and preferred
     percentages to 25 percent and 15 percent, respectively, during
     the second quarter of 1999, at which time we expect to receive an
     upgrade of our senior debt ratings.
--   As noted, on Feb. 11, 1999, Standard & Poor's Corporation
     upgraded the outlook on our senior debt to 'positive' from
     'stable.'
--   On Dec. 8, 1998, Fitch IBCA Inc. initiated coverage of our senior
     debt with a BBB+ rating.
--   At Dec. 31, 1998, our insurance subsidiaries had more than $2.8
     billion of capital, surplus and investment reserves to protect
     policyholders, and a consolidated risk-based capital ratio of
     231 percent. Conseco's principal insurance companies are all
     rated "A (Excellent)" by A.M. Best & Co.
--   Principal payments on surplus debentures (a subject that receives
     a lot of attention in the article) are not material to our
     holding company cash flows or our cash flow planning. In making
     filings for new surplus debentures, we do not seek to have
     principal payments in early years. As we told the Journal, the
     questions raised by the Kentucky insurance department cited in
     the article related to transactions that occurred at a tiny
     subsidiary before it was acquired by Conseco.

"We have excellent working relationships with regulators. We are proceeding with our plan to streamline Conseco's insurance operations from more than 30 operating companies to approximately 15. We have actively engaged in a cooperative review of that program with several state insurance departments. As we told the Journal, we have been very pleased with both the process and the outcome of that review: -0-

--   We have received approval from the appropriate state regulators
     on all of the transactions we have proposed so far.
--   We have hundreds of contacts each year with state insurance
     regulators in the normal course of business, and we have
     excellent working relationships with them."

Headquartered in Carmel, Ind., Conseco is one of middle America's leading sources for insurance, investment and lending products. Through its subsidiaries and a nationwide network of insurance agents and finance dealers, Conseco provides solutions for both wealth protection and wealth creation to more than 12 million customers.

World Wide Web http://www.conseco.com Investor Hotline 800.4.CONSECO Fax-on-Demand 800.344.6452

Note on forward-looking statements: All statements, trend analyses and other information contained in this release and elsewhere (such as in filings by Conseco with the Securities and Exchange Commission, press releases, presentations by Conseco or its management or oral statements) relative to markets for Conseco's products and trends in Conseco's operations or financial results, as well as other statements including words such as "anticipate," "believe," "plan," "estimate," "expect," "intend," and other similar expressions, constitute forward-looking statements under the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to known and unknown risks, uncertainties and other factors which may cause actual results to be materially different from those contemplated by the forward-looking statements. Such factors include, among other things: (1) general economic conditions and other factors, including prevailing interest rate levels, stock and credit market performance and health care inflation, which may affect (among other things) the ability of Conseco to sell its products, its ability to make loans and access capital resources and the costs associated therewith, the market value of Conseco's investments, the lapse rate and profitability of policies, and the level of defaults and prepayments of loans made by Conseco; (2) the ability to achieve anticipated synergies and levels of operational efficiencies; (3) customer response to new products, distribution channels and marketing initiatives; (4) mortality, morbidity, usage of health care services and other factors which may affect the profitability of Conseco's insurance products, (5) changes in the Federal income tax laws and regulations which may affect the relative tax advantages of some of Conseco's products; (6) increasing competition in the sale of insurance and annuities and in the finance business; (7) regulatory changes or actions, including those relating to regulation of financial services affecting (among other things) bank sales and underwriting of insurance products, regulation of the sale, underwriting and pricing of products, and health care regulation affecting health insurance products; (8) the ability to achieve Year 2000 readiness for significant systems and operations on a timely basis; (9) the availability and terms of future acquisitions; and (10) the risk factors or uncertainties listed from time to time in Conseco's filings with the Securities and Exchange Commission.