SOURCE: Colodny, Fass, Talenfeld, Karlinsky & Abate

October 13, 2008 17:17 ET

Colodny, Fass, Talenfeld, Karlinsky & Abate Handles Regulatory Work for Merger of Workers' Comp Companies

EMPLOYERS Holdings Acquires AmCOMP

FORT LAUDERDALE, FL--(Marketwire - October 13, 2008) - Colodny, Fass, Talenfeld, Karlinsky & Abate Shareholder Fred Karlinsky and Partner Richard Fidei recently handled the Florida Office of Insurance Regulation (FLOIR) regulatory work to complete the acquisition of AmCOMP Incorporated by EMPLOYERS Holdings, Inc. (EMPLOYERS). EMPLOYERS entered into an amendment to its merger agreement with AmCOMP, allowing for the acquisition. Under the agreement, holders of AmCOMP's approximately 15 million common shares outstanding will receive $12.15 per share in cash, for a total of $182.3 million.

In order to obtain regulatory approval from the Office of Insurance Regulation (OIR), the team's work included facilitating the application process, working and negotiating with regulators, and answering questions for their client -- EMPLOYERS. The firm also advised EMPLOYERS on AmCOMP's resolution of excess profits of $8.4 million held by the company. The merger was approved by the OIR on September 2, 2008.

The transaction, which is subject to approval of AmCOMP's stockholders and other customary closing conditions, is expected to be completed in late October. EMPLOYERS plans to finance the purchase price through a combination of cash and debt.

EMPLOYERS is a holding company with subsidiaries that specialize in workers' compensation insurance and other services for small businesses working in low-to-medium hazard industries. The company's subsidiaries, Employers Insurance Company of Nevada and Employers Compensation Insurance Company, are rated A- (Excellent) by the A.M. Best Company.

AmCOMP also specializes in workers' compensation insurance for small- to mid-sized employers. Its subsidiaries, AmCOMP Preferred Insurance Company and AmCOMP Assurance Corporation, focus exclusively on workers' compensation insurance. AmCOMP is a 25-year-old company and has offices in North Palm Beach and Maitland.

Colodny, Fass, Talenfeld, Karlinsky & Abate, P.A. is a full-service law firm specializing in government relations, commercial litigation and administrative law, with offices in Fort Lauderdale and Tallahassee. The Firm's litigation practice group also handles civil rights, employment discrimination and child advocacy matters on both the trial and appellate levels. For more information, visit www.ctflaw.com or call (954) 492-4010 or (850) 577-0398 in Tallahassee.

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