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INTEGON CORPORATION REPORTS RECORD EARNINGS

 INTEGON CORPORATION REPORTS RECORD EARNINGS
 WINSTON-SALEM, N.C., May 4 /PRNewswire/ -- Integon Corporation


(NYSE: IN) announced today that it earned a record $6.8 million, or 42 cents per share, in pro forma net income from its continuing property and casualty insurance operations in the first quarter of 1992, a 12.2 percent increase over 1991's first quarter pro forma net income of $6.0 million, or 38 cents per share.
 Total revenues for the first quarter of 1992, also reported on a pro forma basis, grew to $48.2 million, up from $43.3 million for the same period of 1991, an increase of 11.2 percent, due primarily to a 20.5 percent increase in nonstandard automobile net premiums written, which rose from $31.7 million in 1991 to $38.2 million in 1992.
 Financial results are reported on a pro forma, or adjusted, basis in order to provide a meaningful comparison between 1991 and 1992. For purposes of comparison, financial results have been adjusted to reflect the recent transaction involving the initial public offering of common stock and the concurrent retirement of debt and the related write-off of deferred loan costs associated with that debt, as having all occurred on Jan. 1, 1991.
 In announcing the company's financial results, Integon President James T. Lambie noted that increases in premium growth, particularly in North Carolina and Virginia, excellent loss experience for the quarter that was in line with overall industry results and Integon's continuing emphasis on reducing operating costs combined to produce the record earnings. He said that the quarter's record net income was particularly gratifying because it broke the previous record for quarter earnings, which was set in the first quarter of 1991. "We continue to be pleased with the growth we are seeing, particularly in our North Carolina and Virginia markets, and the initial results of our entry into Georgia," Lambie said.
 "At the same time, our Combined Ratio, the generally accepted overall measure of a property and casualty insurance company's performance, continues to be better than the industry average. This reflects the company's disciplined underwriting approach and its ability to use computer technology and automated services to effectively manage its operating expenses," Lambie said.
 Integon Corporation, headquartered in Winston-Salem, N.C., through its wholly-owned property and casualty insurance subsidiaries, specializes in the underwriting and marketing of non-standard automobile insurance to individuals. The company markets its products through over 2,400 independent agencies located principally in North Carolina, Virginia, Tennessee and Georgia.
 INTEGON CORPORATION AND SUBSIDIARIES
 PRO FORMA STATEMENTS OF OPERATIONS
 (Dollars in Thousands, Except Per Share Data)
 (Unaudited)
 Pro Forma Actual
 Quarter Ended Quarter Ended
 3/31/92 3/31/91 3/31/92 3/31/91
 Net Premium Written $40,701 $41,354 $40,701 $41,354
 Change in Unearned Premium (106) 3,904 (106) 3,904
 Premiums Earned 40,807 37,450 40,807 37,450
 Loss and Loss Adjustment
 Expenses 23,129 21,946 23,129 21,946
 Underwriting Expenses 10,222 8,246 10,222 8,246
 GAAP Underwriting Gain (Loss) 7,456 7,258 7,456 7,258
 Net Investment Income 3,944 3,510 3,738 3,018
 Other Income, Primarily
 Financing 467 779 467 779
 Less: Amortization of Goodwill 419 438 419 438
 Interest Expense 1,934 1,851 2,628 3,640
 Pretax Operating Income 9,514 9,258 8,614 6,977
 Income Tax Expense 3,090 3,242 2,804 2,467
 Aftertax Operating Income 6,424 6,016 5,810 4,510
 Net Realized Investment Gains
 (Losses) 333 6 333 6
 Income of Continuing P&C
 Business 6,757 6,022 6,143 4,516
 Preferred Dividend (127) (115) (76) (46)
 Available to Common 6,630 5,907 6,067 4,470
 Income of Non-P&C Business
 to be Sold NA NA (195) 1,947
 Preferred Dividend NA NA (51) (69)
 Available to Common NA NA (246) 1,878
 Extraordinary Item, Net NA NA (2,141) -
 Income Available to Common $6,630 $5,907 $3,680 $6,348
 Per Share:
 Aftertax Operating Income $0.41 $0.39 $0.49 $0.55
 Net Realized Investment
 Gains (Losses) $0.02 $0.00 $0.03 $0.00
 Income of Continuing P&C
 Business $0.43 $0.39 $0.52 $0.55
 Preferred Dividend ($0.01) ($0.01) ($0.01) ($0.01)
 Available to Common $0.42 $0.38 $0.51 $0.54
 Income of Non P&C Business
 to be Sold NA NA ($0.02) $0.23
 Extraordinary Item, Net NA NA ($0.18) $0.00
 Income Available to Common $0.42 $0.38 $0.31 $0.77
 Average Shares Outstanding 15,635 15,635 11,817 8,199
 -0- 5/4/92
 /CONTACT: Turner Coley of Turner Coley Associates, 919-760-3000, for Integon Corporation/
 (IN) CO: Integon Corporation ST: North Carolina IN: INS SU: ERN


CM-DF -- CH008 -- 6198 05/04/92 16:29 EDT
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Date:May 4, 1992
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