S&P Affirms Old Republic Ratings; Outlook Stable.

Business Editors

NEW YORK--(BUSINESS WIRE)--Standard & Poor's

Nov. 13, 2001--Standard & Poor's today affirmed all its ratings on Old Republic International Corp. (ORI) and all of its interactively rated general insurance group, title insurance group, and life insurance group units.

The outlook has been revised to stable from negative on all companies except for those of the Old Republic Title Insurance Group (ORT), which continue to be stable.

Major Rating Factors:

-- ORI. The parent company and the holding company of all operating units, ORI
is extremely strongly capitalized, has a history of very strong earnings, and
benefits from a diversity of sources to pay its obligations, represented by its
operating units, with little to moderate expected co-variance of operating
results.

-- Old Republic Capital Corp. (ORC). In addition to benefiting from the
unconditional guaranty of its obligations by ORI, ORC backs up its outstanding
commercial paper obligations 100% with unused lines of credit at all times.

-- Old Republic General Insurance Group (ORG). ORG is a diversified group of
commercial insurers writing a variety of coverages but principally trucking and
workers' compensation insurance with lesser but still important representation
in aviation and commercial multi-peril insurance and fidelity and surety.
Although the group does not dominate any of its markets, it has strong
relationships in all of them and has historically been able to deliver high
value-added service at moderate cost. The group is knit together by a tailored
network of reinsurance arrangements designed for mutual support while
preserving accountability of the management of the operating units. Group
capitalization is extremely strong and operating results, considered over term,
have been very strong. ORG has improved its operating results since 1999, which
was its only very weak year since before 1990.

-- ORT. The four companies that comprise this group are collectively the
smallest of the major title insurers, with about 6% of industry net-written
premiums in the past year. However, the group is a substantial operating unit
that has demonstrated the ability to operate as efficiently as its larger
competitors over an extended period of time. Capitalization is extremely
strong. Intercompany reinsurance arrangements are similar to those of ORG and
structured for a similar purpose. The exception is American Guaranty Title,
acquired in 1996, which has no reinsurance arrangements but is fully integrated
into ORT's operations and has excess capital. Standard & Poor's considers the
group to be strategically important to ORI.

-- Old Republic Life Insurance Group (ORLIG). ORLIG is very small in relation
to the scope of ORI, accounting for only about 2.6% of consolidated revenues in
the past year. Business position is very modest in its three main coverages,
credit life and accident insurance, term insurance, and specialty
non-cancellable accidental death and dismemberment insurance. However, the
group is extremely strongly capitalized and has demonstrated the ability to
operate with satisfactory results, although costs are a bit high because of
management's policy of maintaining a robust infrastructure to take advantage of
developments that are favorable to expansion of operations. In addition,
Standard & Poor's views the group as strategically important to ORI because of
its use as a potential aid to ORG's operations and because of the actual
synergetic relationship it has with one of ORG's units.

-- Republic Mortgage Insurance Corp. (RMIC--separately reviewed at a different
time -- cited here as a rating factor in the evaluation of ORI). RMIC is the
sixth-largest of the eight U.S. residential mortgage insurers, writing a share
of industry premiums that has consistently been about 10% for many years.
Capitalization is very strong, commensurate with Standard & Poor's stringent
requirements for this industry, and results of operations for the last 10
years, in keeping with those of the industry, have been very to extremely
strong. RMIC has been very strong in loss control, but has operated with higher
expenses than the industry at large. It has also been the largest producer of
profits for ORI since 1999, as good times for mortgage insurance have coincided
with tough times for commercial insurance. RMIC's financial strength and
counterparty credit ratings are double-'A', with a stable outlook.

Two small units of ORG, Old Republic Standard Insurance Co. and Upper Peninsula Insurance Co., recently ceased operations and therefore are no longer rated. Old Republic Insurance Co., the flagship of ORG, was always either directly or contingently responsible for the liabilities of these companies through reinsurance, and is now directly responsible for them.

The members of the Old Republic Group, Old Republic Title Insurance Group, and Old Republic Life Insurance Group are Security Circle insurers, which means that they voluntarily underwent Standard & Poor's most comprehensive analysis and were assigned ratings in one of the top four categories for financial security.

OUTLOOK: STABLE

The ORI organization has the diversity of businesses as well as the operating efficiencies, underwriting skills, relationships, and reputation in each of them to sustain strong operating results for the foreseeable future. At this time, Standard & Poor's expects commercial and title insurance to produce very strong earnings in 2002 with results that compare favorably to 2001; mortgage insurance to be challenged in 2002 by poor credit conditions in the residential mortgage market as well as erosion of industry terms of trade; and life insurance to operate with fairly even comparisons. Overall, ORI should produce a moderate improvement in results next year. Capitalization of the holding company and all operating groups should remain extremely strong.

OUTSTANDING RATINGS AFFIRMED

Old Republic International Corp.
  Counterparty credit rating          A+/Stable
  Senior debt rating                  A+
Old Republic Capital Corp.
  Commercial paper rating             A-1

MEMBERS OF THE OLD REPUBLIC GENERAL INSURANCE GROUP
Bituminous Casualty Corp.
Bituminous Fire & Marine Insurance Co.
Employers General Insurance Co.
Great West Casualty Co.
International Business & Mercantile Reassurance Co.
Old Republic Insurance Co.
Old Republic Lloyds of Texas
Old Republic Mercantile Insurance Co.
Old Republic Surety Co.
  Counterparty credit rating          AA/Stable
  Financial strength rating           AA

MEMBERS OF THE OLD REPUBLIC TITLE INSURANCE GROUP
Old Republic National Title Insurance Co.
Old Republic General Title Insurance Corp.
Mississippi Valley Title Insurance Co.
American Guaranty Title Co.
  Counterparty credit rating          AA-/Stable
  Financial strength rating           AA-

MEMBERS OF THE OLD REPUBLIC LIFE INSURANCE GROUP
Old Republic Life Insurance Co.
Home Owners Life Insurance Co.
  Counterparty credit rating          A/Stable
  Financial strength rating           A