Posted: 02.09.2007
DAYTONA BEACH, FL and TAMPA, FL, Feb 09, 2007 (MARKET WIRE via COMTEX News Network) -- J. Scott Penny, Regional Executive Vice President of Brown & Brown, Inc. (NYSE: BRO), and Eugene F. "Gene" LoVasco, President of ALCOS, Inc., headquartered in Sterling Heights, Michigan, today announced the signing of a definitive agreement for Brown & Brown, Inc. to acquire ALCOS, Inc. Finalization of the transaction is subject to the satisfaction of certain customary conditions.
ALCOS, with annualized revenues of approximately $18.0 million, has been serving the people and businesses of Michigan and surrounding states for more than 45 years. This insurance intermediary company focuses on employee benefits, commercial and personal lines insurance, life insurance and employee benefits administration. The current and founding shareholders, John Marshall, Gene LoVasco and John LoVasco, along with their staff of insurance professionals will continue to operate from their existing locations in Sterling Heights and Ann Arbor, Michigan under the ALCOS name, as freestanding Brown & Brown operations.
Gene LoVasco commented, "The decision to join with Brown & Brown was made with our clients and employees in mind, to ensure that we can continue to provide the very best in products and service and give our employees increased opportunities for growth. Additionally, we find Brown & Brown's entrepreneurial, decentralized business model to be a perfect fit with the culture of our company. Our team continues in place and we foresee a very bright future."
Mr. Penny, who is responsible for Brown & Brown's operations in the Midwestern United States, said, "The addition of the ALCOS team is a major milestone for our presence not only in Michigan, but the entire Midwest. They strengthen our already highly regarded expertise and scope of operations serving the insurance needs of clients throughout the region, especially in the area of employee benefits."
Brown & Brown, Inc. and its subsidiaries offer a broad range of insurance and reinsurance products and services, as well as risk management, third party administration, managed health care, and Medicare set-aside services and programs. Providing service to business, public entity, individual, trade and professional association clients nationwide, the Company is ranked by Business Insurance magazine as the United States' sixth largest independent insurance intermediary. The Company's Web address is www.bbinsurance.com.
This press release may contain certain statements relating to future results which are forward-looking statements, including those associated with this acquisition. These statements are not historical facts, but instead represent only the Company's current belief regarding future events, many of which, by their nature, are inherently uncertain and outside of the Company's control. It is possible that the Company's actual results and financial condition may differ, possibly materially, from the anticipated results and financial condition indicated in these forward-looking statements. Further information concerning the Company and its business, including factors that potentially could materially affect the Company's financial results and condition, as well as its other achievements, are contained in the Company's filings with the Securities and Exchange Commission. Some factors include those factors relevant to Brown & Brown's consummation and integration of the announced acquisition, including any matters analyzed in the due diligence process, material adverse changes in the customers of the company whose operations are being acquired and material adverse changes in the business and financial condition of either or both companies and their respective customers. All forward-looking statements made herein are made only as of the date of this release, and the Company does not undertake any obligation to publicly update or correct any forward-looking statements to reflect events or circumstances that subsequently occur or of which the Company hereafter becomes aware.
Cory T. Walker
Chief Financial Officer
(386) 239-7250
