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ITT HARTFORD ANNOUNCES SALE OF ITS REDSHAW UNIT TO DELPHI/MCCRACKEN

ITT HARTFORD ANNOUNCES SALE OF ITS REDSHAW UNIT TO DELPHI/MCCRACKEN
 HARTFORD, Conn., Dec. 16 /PRNewswire/ -- ITT Hartford Insurance Group today announced the sale of its Redshaw Inc. subsidiary, which will merge with Delphi Information Systems Inc. of Westlake Village, Calif.
 In return for their shares in Redshaw, ITT Hartford and its partners, St. Paul Fire and Marine Insurance Co., Crum & Forster Insurance Co. and Kemper National Insurance Cos., will receive cash along with common and preferred stock and subordinated promissory notes from Delphi, which operates under the name Delphi/McCracken.
 Frank Grebowski, president of Pittsburgh-based Redshaw Inc., will manage the new division of Delphi, which will be called Delphi/Redshaw. The division will remain in Pittsburgh.
 Redshaw, one of the largest vendors of computer software to independent insurance agencies in the U.S. and Canada, joined ITT Hartford as an independently managed subsidiary in 1982. St. Paul, Crum & Forster and Kemper subsequently purchased shares in Redshaw.
 Redshaw's merger with Delphi/McCracken will enhance both firms' ability to serve the independent agencies that utilize computer software systems to manage their operations, said William L. Harrison, senior vice president at ITT Hartford, and chairman of Redshaw.
 "Delphi/McCracken shares Redshaw's philosophy of superior customer service and has made a commitment to maintain that same level of service to the agents who use Redshaw systems," said Harrison.
 The merger, said Harrison, will result in a firm that has strong financial management, along with superior service and technical capabilities that will enable the company to cover the breadth of the market while meeting the unique needs of individual customers.
 "Delphi/McCracken's technological plans and capabilities are compatible with and complement the technologies used by Redshaw to develop systems aimed at improving the productivity and profitability of independent agents," said Harrison.
 "This merger significantly increases our customer base, but more importantly, it provides the combined companies more resources to focus on providing products and services aimed at improving the productivity and profitability of our customers," said Richard R. Janssen, chairman of the board of Delphi/McCracken. "Also because of our large and diverse customer base, we can more cost effectively focus on the unique needs of agencies and brokerages, regardless of their size or types of specialties."
 For the year ended March 31, 1991, Redshaw and Delphi/McCracken would have had combined revenue of approximately $60 million. The two companies process approximately $65 billion in property-casualty insurance premiums annually.
 Redshaw Inc. was founded in 1975 by Pittsburgh independent insurance agent Robert M. Thompson Sr., his wife, Janet, and his son, Rob, who developed Redshaw's first agency management software. Rob Thompson pioneered the software to interface Redshaw agency systems with multiple insurance carriers.
 ITT Hartford, a subsidiary of ITT Corp., is one of the nation's oldest and largest international insurance and financial services operations. Member companies offer commercial property and casualty insurance, automobile and homeowners coverages, and a variety of life insurance, employee benefit and asset management plans.
 Headquartered in Westlake Village, Calif., Delphi Information Systems Inc. is the leading vendor of automation systems and services for independent property-casualty insurance agencies and brokers in North America. The company develops, markets and supports computer applications software systems which automate independent agencies and brokers encompassing the areas of sales management, policy and claims administration, accounting, financial reporting and electronic interface with the computers of insurance carriers. The company also markets and supports the hardware necessary to operate its proprietary software systems.
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 /CONTACT: Joyce Willis of ITT Hartford, 203-547-4951, or Dom Edwards of Delphi, 818-706-8989/ CO: ITT Hartford Insurance Group; Delphi Information Systems Inc. ST: Connecticut, California IN: INS SU:


SH -- NE014 -- 2738 12/16/91 18:11 EST
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Publication:PR Newswire
Date:Dec 16, 1991
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