Enchantment State News Service

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Updated April 18, 2008



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Front Page News

April 17, 2008 05:28 PM Eastern Daylight Time


Clean Harbors Announces Follow-On Offering of Common Stock

NORWELL, Mass.--(BUSINESS WIRE)--Clean Harbors, Inc. (NASDAQ: CLHB), the leading provider of environmental and hazardous waste management services throughout North America, announced it has filed today a shelf registration statement, which became effective on filing, and a preliminary prospectus supplement with the Securities and Exchange Commission for a proposed follow-on public offering of 2,500,000 shares of its common stock. All shares will be offered by the Company. In addition, the Company has granted the underwriters an option to purchase up to an additional 375,000 shares to cover over allotments, if any. The public offering price has not yet been determined. The Company expects to use the net proceeds of the offering toward one or more of the following: potential future acquisitions, repayment of debt and working capital.

Goldman, Sachs & Co. is acting as the sole book-running manager of the offering. Credit Suisse Securities (USA) LLC and Merrill Lynch & Co. are acting as senior co-managers, and RBC Capital Markets Corporation, Needham & Company, LLC and Wedbush Morgan Securities Inc. are acting as co-managers.

The common stock will be offered only pursuant to a prospectus supplement to the effective registration statement (including a prospectus) filed April 17, 2008. The preliminary prospectus supplement related to the offering as filed with the Securities and Exchange Commission is available on the SEC’s website www.sec.gov. A printed copy of the preliminary prospectus supplement relating to the offering may be obtained by contacting Goldman, Sachs & Co., Attn: Prospectus Dept., 85 Broad Street, New York, NY 10004, Fax: 212-902-9316 or email at prospectus-ny@ny.email.gs.com

This release shall not constitute an offer to sell or the solicitation of an offer to buy any of these securities, nor shall there be any sale of these securities in any state in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state.

About Clean Harbors, Inc.

Clean Harbors is North America's leading provider of environmental and hazardous waste management services. Headquartered in Norwell, Massachusetts, Clean Harbors has more than 100 locations strategically positioned throughout North America in 36 U.S. states, six Canadian provinces, Mexico and Puerto Rico. For more information, visit www.cleanharbors.com.

Safe Harbor Statement

Any statements contained herein that are not historical facts are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, and involve risks and uncertainties. These forward-looking statements are generally identifiable by use of the words “believes,” “expects,” “intends,” “anticipates,” “plans to,” “estimates,” “projects,” or similar expressions.

These forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those reflected in these forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements, which reflect management’s opinions only as of the date hereof. The Company undertakes no obligation to revise or publicly release the results of any revision to these forward-looking statements other than through its various filings with the Securities and Exchange Commission.

Furthermore, all financial information in this press release is based on preliminary data and is subject to the final closing of the Company’s books and records.

A variety of factors beyond the control of the Company may affect the Company’s performance, including, but not limited to:

The Company’s ability to manage the significant environmental liabilities that it assumed in connection with the CSD and other acquisitions;

The availability and costs of liability insurance and financial assurance required by governmental entities relating to our facilities;

The effects of general economic conditions in the United States, Canada and other territories and countries where the Company does business;

The effect of economic forces and competition in specific marketplaces where the Company competes;

The possible impact of new regulations or laws pertaining to all activities of the Company’s operations;

The outcome of litigation or threatened litigation or regulatory actions;

The effect of commodity pricing on overall revenues and profitability;

Possible fluctuations in quarterly or annual results or adverse impacts on the Company’s results caused by the adoption of new accounting standards or interpretations or regulatory rules and regulations;

The effect of weather conditions or other aspects of the forces of nature on field or facility operations;

The effects of industry trends in the environmental services and waste handling marketplace; and

The effects of conditions in the financial services industry on the availability of capital and financing.

Any of the above factors and numerous others not listed nor foreseen may adversely impact the Company’s financial performance. Additional information on the potential factors that could affect the Company’s actual results of operations is included in its filings with the Securities and Exchange Commission, which may be viewed on the Investor portal of the Company’s Web Page at www.cleanharbors.com


Front Page News

April 17, 2008 05:21 PM Eastern Daylight Time


Chavez Family Pushes Falcon Ridge Financial Past $1.4 Million Mark

ALBUQUERQUE, N.M.--(BUSINESS WIRE)--Falcon Ridge Financial is proud to announce 1st quarter loans in excess of 1.4 million dollars.

“Last Thursday, we were so proud to be the first to congratulate Chavez family after closing their loan,” said Falcon Ridge Vice President Julie Kruger. “$1.4 million is a very significant milestone for a young company such as Falcon Ridge and, of course, we know that this is just the beginning. Right now it’s a very rewarding feeling to personally congratulate each of our customers on the financing of their homes.”

Falcon Ridge Development is a publicly-traded company (OTCBB: FCNR), fully regulated by the Securities and Exchange Commission.

Falcon Ridge subsidiaries include: Residential and Commercial Real Estate Development, Mortgage Financing, Realty Services, and Real Estate Acquisition.

Forward-Looking Statements: This release may contain forward-looking statements, including, without limitation, statements concerning our business and possible or assumed future results of operations. Our actual results could differ materially from those anticipated in the forward-looking statements for many reasons including: our ability to continue as a going concern, adverse economic changes affecting markets we serve; competition in our markets and industry segments; our timing and the profitability of entering new markets; greater than expected costs, customer acceptance of our communities or difficulties related to our integration of the businesses we may acquire; and other risks and uncertainties as may be detailed from time to time in our public announcements and SEC filings.

Although we believe the expectations reflected in the forward-looking statements are reasonable, they relate only to events as of the date on which the statements are made, and our future results, levels of activity, performance or achievements may not meet these expectations. We do not intend to update any of the forward-looking statements after the date of this document to conform these statements to actual results or to changes in our expectations, except as required by law. Additional information about the Company can be found in periodic filings with the Securities and Exchange Commission available at the Securities commission site.


Front Page News

April 17, 2008 05:00 PM Eastern Daylight Time 

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Reinsurance Group of America Reports First-Quarter Results; Adverse Effect of High Claims

ST. LOUIS--(BUSINESS WIRE)--Reinsurance Group of America, Incorporated (NYSE:RGA), a leading global provider of life reinsurance, reported net income for the first quarter of $31.5 million, or $0.49 per diluted share, compared to $76.3 million, or $1.19 per diluted share, in the prior-year quarter. RGA uses a non-GAAP financial measure called operating income as a basis for analyzing financial results. The definition of operating income and reconciliations to GAAP net income are provided in the following tables. Operating income decreased to $71.0 million, or $1.10 per diluted share, from $82.1 million, or $1.28 per diluted share in the year-ago quarter, primarily reflecting adverse claims experience in the U.S. and UK. First-quarter net premiums rose 15 percent, to $1,298.1 million, from $1,125.5 million a year ago. Net investment income totaled $199.5 million versus $215.7 million the year before.

The company’s conference call, previously scheduled for April 22, will be held tomorrow, April 18, at 9 a.m. Eastern Time. Telephone numbers and webcast information can be found later in this press release.

A. Greig Woodring, president and chief executive officer, commented, “The level of claims in both the U.S. and UK, our two largest mortality markets, was well above expectations, and as such, is not expected to continue on an ongoing basis. As we have pointed out in the past, our business is prone to periodic mortality fluctuations; however, when measured over longer periods of time, our mortality experience is stable.

“The U.S. segment reported pre-tax net income totaling $15.3 million for the quarter versus $93.2 million the year before. The current quarter includes a $44.9 million pre-tax loss, net of deferred acquisition costs (DAC), due to a decline in the value of various embedded derivatives, including $32.6 million associated with modified coinsurance and funds withheld treaty structures. The change in value of this embedded derivative is reflected in investment related gains (losses) before DAC offset and represents a non-cash, unrealized change due primarily to the impact of widening credit spreads on the investment portfolios underlying certain of our funds withheld annuity reinsurance treaties. Additionally, the impact of changes in risk free rates used in the present value calculations of embedded derivatives associated with equity-indexed annuity treaties resulted in a $14.1 million loss after DAC offset. We consider these items to be non-operating since they are unrealized and do not affect current cash flows, crediting rates or spread performance on the underlying treaties.

“Pre-tax operating income decreased to $64.4 million from $93.5 million the year before. The total claim count and the level of large claims in our traditional mortality segment were higher than expected by approximately $50.0 million, pretax. We have performed an extensive review of the claims and the mix of claims is consistent with prior periods, implying no obvious change in the expected ongoing performance of the underlying business. Rather, we view the results as random volatility that is an expected part of our business. Net premiums were up 8 percent to $727.1 million from $671.0 million in the prior-year quarter.

“Europe and South Africa results were adversely affected by poor claims experience in the UK and South Africa, with pre-tax net income decreasing to $6.0 million from $21.1 million a year ago. Pre-tax operating income decreased to $5.3 million versus $21.3 million last year, when we experienced favorable mortality. This represents a continuation of some degree of adverse mortality that began in the second half of 2007, effectively offsetting the positive mortality experience from the first half of 2007. On an inception-to-date basis, the business in this segment continues to perform within our pricing expectations. Net premiums increased 13 percent to $189.2 million. Foreign currency exchange fluctuations favorably affected reported net premiums and pre-tax operating income by approximately $4.2 million and $0.7 million, respectively, due to relatively strong British pound and euro currencies.

“Our Canada operations reported a strong quarter, with pre-tax net income of $23.7 million compared to $15.0 million a year ago. Pre-tax operating income more than doubled to $28.2 million from $12.5 million a year ago, due in part to favorable claims experience. Net premiums increased 40 percent to $139.0 million from $99.5 million in the prior year. Net premiums and pre-tax operating income for the first quarter of 2008 were favorably affected by currency exchange rates relative to the prior year by approximately $19.8 million and $4.7 million, respectively, as the Canadian dollar has strengthened significantly since last-year’s first quarter.

“Asia Pacific also reported a strong quarter with pre-tax net income of $18.6 million compared with $10.3 million in the year-ago quarter. Pre-tax operating income totaled $18.0 million compared with $10.4 million a year ago. Segment-wide claims experience was slightly favorable. Net premium flow increased 29 percent, to $240.9 million from $186.8 million. Foreign currency fluctuations favorably affected net premiums and pre-tax operating income by approximately $22.4 million and $2.1 million, respectively, primarily due to the strength of the Australian dollar and Japanese yen.

“Our balance sheet remains solid and our investment portfolio is conservative. Investment-related writedowns were not significant during the quarter at $5.2 million, pretax. Our subprime mortgage exposure totaled $255.4 million in book value, or less than 2 percent of total invested assets. 77 percent of those subprime-related holdings are rated “AA”or higher, with 43 percent in the “AAA” category. There are no subprime-related securities in the non-investment grade category and we largely avoided investing in securities originated in the second half of 2005 and beyond, which we believe was a period of lessened underwriting quality.

“Net income for the quarter included $5.1 million in losses associated with our discontinued accident and health business. We settled the remaining largest disputed claim situation during the quarter and are now facing no arbitrations or significant claims disputes for the first time in years.

“Our international expansion is moving forward as planned and we are benefiting from increased diversification of our business. During the quarter, new business production outside of the U.S. exceeded the U.S. production, an indication of that continued diversification.”

Woodring concluded, “While we are disappointed with the poor mortality results this quarter, prior to this quarter we had experienced 10 consecutive quarters of expected or better-than-expected mortality experience on a consolidated basis. We are in a long-term business and when measured over longer periods of time, mortality volatility is significantly reduced and mortality rates are predictable. We expect to continue our long-term track record of producing stable returns on our mortality business.”

The company also announced that its board of directors declared a regular quarterly dividend of $0.09, payable May 27 to shareholders of record as of May 5.

A conference call to discuss the company’s first-quarter results will begin at 9 a.m. Eastern Time on Friday, April 18. Interested parties may access the call by dialing 877-718-5092 (domestic) or 719-325-4760 (international). The access code is 3503284. A live audio webcast of the conference call will be available on the company’s investor relations web page at www.rgare.com. A replay of the conference call will be available at the same address for three months following the conference call. A replay of the conference call will also be available via telephone through April 29 at 888-203-1112 (domestic) or 719-457-0820, access code 3503284.

Reinsurance Group of America, Incorporated, through its various operating subsidiaries, is among the largest global providers of life reinsurance. Reinsurance Group of America, Incorporated has subsidiary companies or offices in Australia, Barbados, Bermuda, Canada, China, Germany, Hong Kong, India, Ireland, Japan, Mexico, Poland, South Africa, South Korea, Spain, Taiwan, the United Kingdom and the United States. Worldwide, the company has approximately $2.2 trillion of life reinsurance in force, and assets of $21.8 billion. MetLife, Inc. is the beneficial owner of approximately 52 percent of RGA’s outstanding shares.

CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING STATEMENTS

This release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, among others, statements relating to projections of the earnings, revenues, income or loss, future financial performance and growth potential of Reinsurance Group of America, Incorporated and its subsidiaries (which we refer to in the following paragraphs as "we," "us" or "our"). The words "intend," "expect," "project," "estimate," "predict," "anticipate," "should," "believe," and other similar expressions also are intended to identify forward-looking statements. Forward-looking statements are inherently subject to risks and uncertainties, some of which cannot be predicted or quantified. Future events and actual results, performance and achievements could differ materially from those set forth in, contemplated by or underlying the forward-looking statements.

Numerous important factors could cause actual results and events to differ materially from those expressed or implied by forward-looking statements including, without limitation, (1) adverse changes in mortality, morbidity, lapsation or claims experience, (2) changes in our financial strength and credit ratings or those of MetLife, Inc. ("MetLife"), the beneficial owner of a majority of our common shares, or its subsidiaries, and the effect of such changes on our future results of operations and financial condition, (3) inadequate risk analysis and underwriting, (4) general economic conditions or a prolonged economic downturn affecting the demand for insurance and reinsurance in our current and planned markets, (5) the availability and cost of collateral necessary for regulatory reserves and capital, (6) market or economic conditions that adversely affect our ability to make timely sales of investment securities, (7) risks inherent in our risk management and investment strategy, including changes in investment portfolio yields due to interest rate or credit quality changes, (8) fluctuations in U.S. or foreign currency exchange rates, interest rates, or securities and real estate markets, (9) adverse litigation or arbitration results, (10) the adequacy of reserves, resources and accurate information relating to settlements, awards and terminated and discontinued lines of business, (11) the stability of and actions by governments and economies in the markets in which we operate, (12) competitive factors and competitors' responses to our initiatives, (13) the success of our clients, (14) successful execution of our entry into new markets, (15) successful development and introduction of new products and distribution opportunities, (16) our ability to successfully integrate and operate reinsurance business that we acquire, (17) regulatory action that may be taken by state Departments of Insurance with respect to us, MetLife, or its subsidiaries, (18) our dependence on third parties, including those insurance companies and reinsurers to which we cede some reinsurance, third-party investment managers and others, (19) the threat of natural disasters, catastrophes, terrorist attacks, epidemics or pandemics anywhere in the world where we or our clients do business, (20) changes in laws, regulations, and accounting standards applicable to us, our subsidiaries, or our business, (21) the effect of our status as an insurance holding company and regulatory restrictions on our ability to pay principal of and interest on our debt obligations, and (22) other risks and uncertainties described in this document and in our other filings with the Securities and Exchange Commission.

Forward-looking statements should be evaluated together with the many risks and uncertainties that affect our business, including those mentioned in this document and described in the periodic reports we file with the Securities and Exchange Commission. These forward-looking statements speak only as of the date on which they are made. We do not undertake any obligations to update these forward-looking statements, even though our situation may change in the future. We qualify all of our forward-looking statements by these cautionary statements.

Operating Income

RGA uses a non-GAAP financial measure called operating income as a basis for analyzing financial results. This measure also serves as a basis for establishing target levels and awards under RGA’s management incentive programs. Management believes that operating income, on a pre-tax and after-tax basis, better measures the ongoing profitability and underlying trends of the company’s continuing operations, primarily because that measure excludes the effect of net investment related gains and losses, as well as changes in the fair value of certain embedded derivatives and related deferred acquisition costs. These items tend to be highly variable, primarily due to the credit market and interest rate environment and are not necessarily indicative of the performance of the company’s underlying businesses. Additionally, operating income excludes any net gain or loss from discontinued operations and the cumulative effect of any accounting changes, which management believes are not indicative of the company’s ongoing operations. The definition of operating income can vary by company and is not considered a substitute for GAAP net income.

     
REINSURANCE GROUP OF AMERICA, INCORPORATED AND SUBSIDIARIES
Reconciliation of Net Income From Continuing Operations
to Operating Income

(Dollars in thousands)

     
(Unaudited)   Three Months Ended
    March 31,
 
    2008   2007
 
GAAP net income-continuing operations   $ 36,589     $ 76,937  
Capital losses and other, net     624       5,654  
Embedded Derivatives:        
Included in investment related (gains) losses, net     100,633       (1,845 )
Included in interest credited/policy acquisition costs and other insurance expenses, net     34,057       --  
DAC offset, net     (100,946 )     1,338  
 
Operating income   $ 70,957     $ 82,084  
                 
REINSURANCE GROUP OF AMERICA, INCORPORATED AND SUBSIDIARIES

Reconciliation of Pre-tax Net Income From Continuing Operations

to Pre-tax Operating Income

(Dollars in thousands)

                 
(Unaudited)   Three Months Ended March 31, 2008
 
    Pre-tax
net
income
(loss) 		  Capital
(gains)
losses
and other,
net 		  Change in
value of
embedded
derivatives,
net 		  Pre-tax
operating
income
(loss)
U.S. Operations:                
Traditional   $ 54,448     $ 2,508     $ --     $ 56,956  
Asset Intensive     (41,102 )     1,746 (1)     44,903 (2)     5,547  
Financial Reinsurance     1,939       1       --       1,940  
Total U.S.     15,285       4,255       44,903       64,443  
Canada Operations     23,671       4,507       --       28,178  
Europe & South Africa     6,043       (745 )     --       5,298  
Asia Pacific Operations     18,563       (514 )     --       18,049  
Corporate and Other     (6,874 )     371       --       (6,503 )
Consolidated   $ 56,688     $ 7,874     $ 44,903     $ 109,465  
 
(1) Asset Intensive is net of $7,012 DAC offset.
(2) Asset Intensive is net of DAC offsets of $(162,313).
 
 
 
 
(Unaudited)   Three Months Ended March 31, 2007
 
    Pre-tax
net
income
(loss) 		  Capital
(gains)
losses
and other,
net 		  Change in
value of
embedded
derivatives,
net 		  Pre-tax
operating
income
(loss)
U.S. Operations:                
Traditional   $ 86,011     $ 338     $ --     $ 86,349  
Asset Intensive     4,462       734 (1)     (731 )(2)     4,465  
Financial Reinsurance     2,704       --       --       2,704  
Total U.S.     93,177       1,072       (731 )     93,518  
Canada Operations     15,034       (2,526 )     --       12,508  
Europe & South Africa     21,124       224       --       21,348  
Asia Pacific Operations     10,332       71       --       10,403  
Corporate & Other     (20,437 )     9,852       --       (10,585 )
Consolidated   $ 119,230     $ 8,693     $ (731 )   $ 127,192  
 
(1) Asset Intensive is net of $(49) DAC offset.
(2) Asset Intensive is net of DAC offsets of $2,107.
     
REINSURANCE GROUP OF AMERICA, INCORPORATED AND SUBSIDIARIES

Condensed Consolidated Statements of Income

(Dollars in thousands)

     
    Three Months Ended
(Unaudited)   March 31,
    2008   2007
 
Revenues:        
Net premiums   $ 1,298,065     $ 1,125,450  
Investment income, net of related expenses     199,526       215,743  
Investment related losses, net     (155,260 )     (5,646 )
Other revenues     17,936       19,102  
Total revenues     1,360,267       1,354,649  
 
Benefits and expenses:        
Claims and other policy benefits     1,119,512       902,810  
Interest credited     73,897       61,066  
Policy acquisition costs and other insurance expenses     16,262       182,981  
Other operating expenses     63,340       55,422  
Interest expense     23,094       20,453  
Collateral finance facilities expense     7,474       12,687  
Total benefits and expenses     1,303,579       1,235,419  
 
Income from continuing operations before income taxes     56,688       119,230  
 
Provision for income taxes     20,099       42,293  
 
 
Income from continuing operations     36,589       76,937  
 
Discontinued operations:        
Loss from discontinued accident and health operations, net of income taxes     (5,084 )     (685 )
 
Net income   $ 31,505     $ 76,252  
     
REINSURANCE GROUP OF AMERICA, INCORPORATED AND SUBSIDIARIES

Condensed Consolidated Statements of Income

(In thousands, except per share data)

     
    Three Months Ended
(Unaudited)   March 31,
    2008   2007
 
Earnings per share from continuing operations:        
Basic earnings per share   $ 0.59   $ 1.25
Diluted earnings per share   $ 0.57   $ 1.20
 
Diluted earnings per share from operating income   $ 1.10   $ 1.28
 
Earnings per share from net income:        
Basic earnings per share   $ 0.51   $ 1.24
Diluted earnings per share   $ 0.49   $ 1.19
 
Weighted average number of common and common equivalent shares outstanding     64,230     63,895
 
REINSURANCE GROUP OF AMERICA, INCORPORATED AND SUBSIDIARIES
Condensed Consolidated Business Summary
 
    At or For the
    Three Months Ended
(Unaudited)   March 31,
    2008   2007
 
 
 
 
Gross life reinsurance in force (in billions)        
U.S.   $ 1,247.0     $ 1,178.5  
Canada   $ 221.2     $ 164.1  
Europe & South Africa   $ 383.0     $ 349.7  
Asia Pacific   $ 351.6     $ 273.1  
 
Gross life reinsurance written (in billions)        
U.S.   $ 34.7     $ 40.2  
Canada   $ 12.9     $ 9.8  
Europe & South Africa   $ 18.5     $ 8.1  
Asia Pacific   $ 10.3     $ 3.7  
 
Balance sheet information (in millions, except share and per share figures)        
 
Consolidated cash and invested assets   $ 16,629.9     $ 15,523.8  
Invested asset book yield - trailing three months excluding funds withheld     6.06 %     5.93 %
 
Investment portfolio mix        
Cash and short-term investments     2.11 %     3.31 %
Fixed maturity securities     56.45 %     56.30 %
Mortgage loans     4.89 %     4.84 %
Policy loans     6.25 %     6.54 %
Funds withheld at interest     27.97 %     27.46 %
Other invested assets     2.33 %     1.55 %
 
Collateral finance facilities   $ 850.2     $ 850.4  
Short-term debt   $ --     $ 29.5  
Long-term debt   $ 925.9     $ 944.1  
Company-obligated mandatorily redeemable preferred securities of subsidiary   $ 158.9     $ 158.7  
 
Total stockholders' equity   $ 3,058.9     $ 2,889.3  
Less: Accumulated other comprehensive income "AOCI" (a)

 

    362.7       452.1  
Total stockholders' equity, before impact of AOCI (a)

 

  $ 2,696.2     $ 2,437.2  
 
Treasury shares     893,575       1,403,514  
Common shares outstanding     62,234,698       61,724,759  
Book value per share outstanding   $ 49.15     $ 46.81  
Book value per share outstanding, before impact of AOCI (a)

 

  $ 43.32     $ 39.49  
 
 
(a) Book value per share outstanding and total stockholders' equity, before impact of AOCI, are non-GAAP financial measures that management believes are important in evaluating the balance sheet in order to ignore the effects of unrealized amounts primarily associated with mark-to-market adjustments on investments and foreign currency translation.
                 
REINSURANCE GROUP OF AMERICA, INCORPORATED AND SUBSIDIARIES

U.S. Operations

(Dollars in thousands)

                 
(Unaudited)   Three Months Ended March 31, 2008
        Asset-   Financial   Total
Revenues:   Traditional   Intensive   Reinsurance   U.S.
Net premiums   $ 725,393     $ 1,663     $ --     $ 727,056  
Investment income, net of related expenses     97,431       25,031       40       122,502  
Investment related losses, net     (2,508 )     (149,554 )     (1 )     (152,063 )
Other revenues     60       11,495       2,744       14,299  
Total revenues     820,376       (111,365 )     2,783       711,794  
Benefits and expenses:                
Claims and other policy benefits     651,850       185       --       652,035  
Interest credited     14,790       58,968       --       73,758  
Policy acquisition costs and other insurance expenses     86,050       (131,750 )     198       (45,502 )
Other operating expenses     13,238       2,334       646       16,218  
Total benefits and expenses     765,928       (70,263 )     844       696,509  
Income (loss) before income taxes   $ 54,448     $ (41,102 )   $ 1,939     $ 15,285  
 
(Unaudited)   Three Months Ended March 31, 2007
        Asset-   Financial   Total
Revenues:   Traditional   Intensive   Reinsurance   U.S.
Net premiums   $ 669,419     $ 1,626     $ --     $ 671,045  
Investment income, net of related expenses     84,928       67,952       20       152,900  
Investment related gains (losses), net     (338 )     2,055       --       1,717  
Other revenues     106       7,424       5,889       13,419  
Total revenues     754,115       79,057       5,909       839,081  
Benefits and expenses:                
Claims and other policy benefits     542,586       4,523       1       547,110  
Interest credited     14,270       46,158       --       60,428  
Policy acquisition costs and other insurance expenses     99,380       22,293       2,194       123,867  
Other operating expenses     11,868       1,621       1,010       14,499  
Total benefits and expenses     668,104       74,595       3,205       745,904  
Income before income taxes   $ 86,011     $ 4,462     $ 2,704     $ 93,177  
 
REINSURANCE GROUP OF AMERICA, INCORPORATED AND SUBSIDIARIES
Canada Operations
(Dollars in thousands)
 
 
    Three Months Ended
(Unaudited)   March 31,
    2008   2007
Revenues:        
Net premiums   $ 138,992     $ 99,492  
Investment income, net of related expenses     36,033       26,432  
Investment related gains (losses), net     (4,085 )     2,784  
Other revenues     13       86  
Total revenues     170,953       128,794  
 
Benefits and expenses:        
Claims and other policy benefits     115,271       91,148  
Interest credited     139       186  
Policy acquisition costs and other insurance expenses     26,426       18,476  
Other operating expenses     5,446       3,950  
Total benefits and expenses     147,282       113,760  
 
Income before income taxes   $ 23,671     $ 15,034  
 
 
REINSURANCE GROUP OF AMERICA, INCORPORATED AND SUBSIDIARIES
Europe & South Africa
(Dollars in thousands)
 
 
    Three Months Ended
(Unaudited)   March 31,
    2008   2007
Revenues:        
Net premiums   $ 189,196     $ 167,796  
Investment income, net of related expenses     7,551       5,774  
Investment related gains (losses), net     745       (224 )
Other revenues     60       131  
Total revenues     197,552       173,477  
 
Benefits and expenses:        
Claims and other policy benefits     158,535       114,154  
Interest credited     -       452  
Policy acquisition costs and other insurance expenses     17,230       26,060  
Other operating expenses     15,744       11,687  
Total benefits and expenses     191,509       152,353  
 
Income before income taxes   $ 6,043     $ 21,124  
 
 
REINSURANCE GROUP OF AMERICA, INCORPORATED AND SUBSIDIARIES
Asia Pacific
(Dollars in thousands)
 
 
    Three Months Ended
(Unaudited)   March 31,
    2008   2007
Revenues:        
Net premiums   $ 240,935     $ 186,838  
Investment income, net of related expenses     11,414       8,663  
Investment related gains (losses), net     514       (71 )
Other revenues     2,552       1,827  
Total revenues     255,415       197,257  
 
Benefits and expenses:        
Claims and other policy benefits     193,669       150,483  
Policy acquisition costs and other insurance expenses     28,081       24,614  
Other operating expenses     15,102       11,828  
Total benefits and expenses     236,852       186,925  
 
Income before income taxes   $ 18,563     $ 10,332  
 
 
REINSURANCE GROUP OF AMERICA, INCORPORATED AND SUBSIDIARIES
Corporate and Other
(Dollars in thousands)
 
 
    Three Months Ended
(Unaudited)   March 31,
    2008   2007
Revenues:        
Net premiums   $ 1,886     $ 279  
Investment income, net of related expenses     22,026       21,974  
Investment related losses, net     (371 )     (9,852 )
Other revenues     1,012       3,639  
Total revenues     24,553       16,040  
 
Benefits and expenses:        
Claims and other policy benefits     2       (85 )
Interest credited     --       --  
Policy acquisition costs and other insurance expenses     (9,973 )     (10,036 )
Other operating expenses     10,830       13,458  
Interest expense     23,094       20,453  
Collateral finance facilities expense     7,474       12,687  
Total benefits and expenses     31,427       36,477  
 
Income (loss) before income taxes   $ (6,874 )   $ (20,437 )


Front Page News

April 17, 2008 05:00 PM Eastern Daylight Time


COPAXONE® Significantly Reduced Brain Atrophy and Tissue Loss over Five Years in Treatment-Naive Relapsing-Remitting Multiple Sclerosis Patients

Results of Long-Term Comparative Imaging Study Presented at Annual Meeting of the American Academy of Neurology

KANSAS CITY, Mo.--(BUSINESS WIRE)--Final results from a five-year comparative imaging study examining the long-term effect of disease-modifying therapies (DMTs) in treatment-naive, early relapsing-remitting multiple sclerosis (RRMS) patients, demonstrated that COPAXONE®-(glatiramer acetate injection) treated patients experienced significantly less brain tissue loss, as measured by percent change in brain volume, compared with patients on other DMTs. In the study, patients receiving COPAXONE® experienced a reduced mean annualized rate of brain atrophy (ARBA) of -0.46 percent over five years, while patients receiving Avonex® or Betaseron®/Rebif® experienced mean ARBA of -0.52 percent and -0.64 percent, respectively. Patients in the untreated control group with an average follow-up of 15.2 months experienced the highest rate of brain atrophy (-0.95 percent). These data were presented at the 60th Annual Meeting of the American Academy of Neurology (AAN).

“Brain atrophy is a clinically relevant tool to measure disease progression and subsequent neurological disability in RRMS patients,” said Omar Khan, M.D., Professor of Neurology, Director, Multiple Sclerosis Center, Wayne State University and lead investigator of the study. “Long-term brain volume measurements may be more appropriate than short-term examination to assess the ability of DMTs to affect brain tissue loss in RRMS. Although patients showed a significantly lower ARBA in all three treatment groups compared with the untreated group, COPAXONE®-treated patients demonstrated significantly reduced brain atrophy versus patients treated with either low-dose or high-dose interferon-beta.”

About the Study

The study analyzed 309 treatment-naive RRMS patients who began and remained on the same DMT for five years. Patients included were those with disease duration of five years or less and an Expanded Disability Status Scale (EDSS) score of 3.0 or less at baseline. All patients had brain magnetic resonance imaging (MRI) scans (at onset of DMT and five years later) on the same 1.5T scanner. Untreated RRMS patients with follow-up ranging from 8 to 24 months were enrolled as controls. A fully automated technique known as SIENA was used to measure brain volume change. Image analysis was performed blinded to treatment allocation.

There were 121 patients on COPAXONE®, 101 on high-dose interferon beta (Betaseron® or Rebif®) and 53 on Avonex®. All treatment groups were well-matched at baseline. The mean ARBA over five years was -0.46 percent, -0.52 percent, and -0.64 percent in the COPAXONE®, Avonex® and Betaseron®/Rebif® groups, respectively. The untreated control group with an average follow-up of 15.2 months had a mean ARBA of -0.95 percent. The ARBA was lower in all three treatment groups compared to the untreated group (p<0.0001). COPAXONE®-treated patients demonstrated significantly reduced ARBA than patients treated with either Avonex® or Betaseron®/Rebif® (p=0.0336 and p<0.0001).

“This study also demonstrated that brain atrophy is a dynamic process that can be detected in mildly affected early MS patients. Therefore, in accordance with National MS Society recommendations, it is important to initiate therapy soon after the diagnosis of MS is confirmed,” said Omar Khan, M.D.

The study was supported by Wayne State University Neuroscience Program.

About COPAXONE®

COPAXONE® (glatiramer acetate injection) is indicated for the reduction of the frequency of relapses in RRMS.

The most common side effects of COPAXONE® are redness, pain, swelling, itching, a lump or an indentation at the site of injection, weakness, infection, pain, nausea, joint pain, anxiety, and muscle stiffness.

COPAXONE® is now approved in 51 countries worldwide, including the United States, all European countries, Canada, Mexico, Australia, and Israel. In Europe, COPAXONE® is marketed by Teva Pharmaceutical Industries Ltd. and sanofi-aventis. In North America, COPAXONE® is marketed by Teva Neuroscience, Inc.

See additional important information at http://www.COPAXONE.com/pi/index.html or call 1-800-887-8100 for electronic releases. For hardcopy releases, please see enclosed full prescribing information.

About Teva Neuroscience

Teva Neuroscience is dedicated to investigating, developing and marketing ground-breaking products and technologies, with emphasis on cutting-edge treatments for patients who are living with neurological conditions, including multiple sclerosis (MS) and Parkinson’s disease (PD). Therapies developed by Teva Neuroscience include COPAXONE® (glatiramer acetate injection) for relapsing-remitting multiple sclerosis (RRMS) and AZILECT® (rasagiline tablets) for the treatment of PD.

Teva Neuroscience’s suite of innovative products continues to demonstrate the company’s commitment to fulfilling unmet medical needs and has helped the company evolve into a global leader in RRMS. Teva Neuroscience is a North American division of Teva Pharmaceutical Industries Ltd., the world’s largest generic drug company. Teva Neuroscience is proud of the role it plays in providing effective treatment options to patients worldwide. For more information, please visit www.tevaneuro.com or www.tevaclinicaltrials.com

Teva's Safe Harbor Statement under the U. S. Private Securities Litigation Reform Act of 1995:

This release contains forward-looking statements, which express the current beliefs and expectations of management. Such statements are based on management's current beliefs and expectations and involve a number of known and unknown risks and uncertainties that could cause Teva's future results, performance or achievements to differ significantly from the results, performance or achievements expressed or implied by such forward-looking statements. Important factors that could cause or contribute to such differences include risks relating to: when and whether the proposed acquisition will be consummated, Teva's ability to rapidly integrate Bentley's' operations with its own operations and achieve expected synergies, the diversion of management time on merger-related issues, Teva's ability to accurately predict future market conditions, potential liability for sales of generic products prior to a final resolution of outstanding patent litigation, including that relating to the generic versions of Allegra®, Neurontin®, Lotrel®, Famvir® and Protonix®, Teva's ability to successfully develop and commercialize additional pharmaceutical products, the introduction of competing generic equivalents, the extent to which Teva may obtain U.S. market exclusivity for certain of its new generic products and regulatory changes that may prevent Teva from utilizing exclusivity periods, competition from brand-name companies that are under increased pressure to counter generic products, or competitors that seek to delay the introduction of generic products, the impact of consolidation of our distributors and customers, the effects of competition on our innovative products, especially Copaxone® sales, the impact of pharmaceutical industry regulation and pending legislation that could affect the pharmaceutical industry, the difficulty of predicting U.S. Food and Drug Administration, European Medicines Agency and other regulatory authority approvals, the regulatory environment and changes in the health policies and structures of various countries, our ability to achieve expected results though our innovative R&D efforts, Teva's ability to successfully identify, consummate and integrate acquisitions, potential exposure to product liability claims to the extent not covered by insurance, dependence on the effectiveness of our patents and other protections for innovative products, significant operations worldwide that may be adversely affected by terrorism, political or economical instability or major hostilities, supply interruptions or delays that could result from the complex manufacturing of our products and our global supply chain, environmental risks, fluctuations in currency, exchange and interest rates, and other factors that are discussed in Teva's Annual Report on Form 20-F and its other filings with the U.S. Securities and Exchange Commission. Forward-looking statements speak only as of the date on which they are made and the Company undertakes no obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.


Front Page News

April 17, 2008 04:57 PM Eastern Daylight Time


Penn National Gaming Secures Transaction Approval from the Mississippi Gaming Commission

WYOMISSING, Pa.--(BUSINESS WIRE)--Penn National Gaming, Inc. (PENN: Nasdaq) (the “Company”) today announced it received approval from the Mississippi Gaming Commission for the pending merger of the Company and certain funds managed by affiliates of Fortress Investment Group LLC (NYSE: FIG) (“Fortress”) and Centerbridge Partners, L.P. (“Centerbridge”).

On June 15, 2007, Penn National Gaming announced that it had entered into a definitive agreement to be acquired by certain funds managed by affiliates of Fortress and Centerbridge. Penn National Gaming is seeking to complete the merger late in the second quarter of 2008. The timing of the closing is subject to obtaining certain regulatory approvals and satisfying other customary closing conditions.

As previously reported, in November 2007, the Ohio Racing Commission approved the merger, subject to the delivery of several additional documents. At a special meeting of shareholders held on December 12, 2007, Penn National Gaming shareholders approved the merger agreement. Also, in December 2007, the applicable waiting period under the Hart-Scott-Rodino Act expired without Fortress, Centerbridge or the Company receiving a second request for information. On February 6, 2008, the New Jersey Racing Commission approved the merger, subject to several customary conditions. On March 20, 2008, the West Virginia Lottery Commission approved the merger (however the West Virginia Racing Commission is still reviewing the transaction). On April 15, 2008, the New Mexico Gaming Control Board approved the merger subject to several customary conditions. On April 16, 2008, the merger was approved by the Pennsylvania State Horse Racing Commission (subject to the completion of a suitability investigation being conducted by the Pennsylvania Gaming Control Board) and the New Mexico Racing Commission.

In addition, the following regulatory bodies have confirmed to the Company that no approval of the transaction is required prior to closing: the Colorado Gaming Commission, the Maine Gambling Control Board (however the Maine State Harness Racing Commission is still reviewing the transaction) and the Alcohol and Gaming Commission of Ontario.

Under the terms of the agreement, if the merger is completed by June 15, 2008, the Company’s shareholders will be entitled to receive $67.00 in cash, without interest, for each share of Company common stock they own. If the merger is not completed by June 15, 2008, the $67.00 per share merger consideration will be increased $0.0149 per day.

In connection with the pending merger, Penn National Gaming filed a definitive proxy statement and other documents with the Securities and Exchange Commission that include additional information on the transaction (see “About the Transaction” at the end of this news announcement).

About Penn National Gaming

Penn National Gaming owns and operates gaming and racing facilities with a focus on slot machine entertainment. The Company presently operates nineteen facilities in fifteen jurisdictions, including Colorado, Florida, Illinois, Indiana, Iowa, Louisiana, Maine, Mississippi, Missouri, New Jersey, New Mexico, Ohio, Pennsylvania, West Virginia, and Ontario. In aggregate, Penn National’s operated facilities feature over 25,000 slot machines, approximately 400 table games, over 1,730 hotel rooms and more than 900,000 square feet of gaming floor space.

About the Transaction

In connection with the pending merger, Penn National Gaming filed a Definitive Proxy Statement and other documents with the Securities and Exchange Commission (the “SEC”). INVESTORS AND SECURITY HOLDERS ARE STRONGLY ADVISED TO READ THE DEFINITIVE PROXY STATEMENT AND OTHER DOCUMENTS, BECAUSE THEY CONTAIN IMPORTANT INFORMATION. Investors and security holders may obtain a free copy of the Definitive Proxy Statement and other documents filed by Penn National Gaming, Inc. at the SEC’s Web site at http://www.sec.gov

The Definitive Proxy Statement and other such documents may also be obtained for free by directing such request to Penn National Gaming, Inc. Investor Relations, 825 Berkshire Boulevard, Wyomissing, PA 19610 or on the company’s website at www.pngaming.com

Forward-looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Actual results may vary materially from expectations. Penn National Gaming describes certain of these risks and uncertainties in its filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the year ended December 31, 2007. Meaningful factors which could cause actual results to differ from expectations described in this press release include, but are not limited to, the occurrence of any event, change or other circumstances that could give rise to the termination of the agreement with Fortress and Centerbridge; the outcome of any legal proceedings that may be instituted against Penn National Gaming related to the merger agreement; the inability to complete the transaction due to the failure to satisfy other conditions to completion of the merger, including the receipt of all regulatory approvals related to the merger; risks that the pending transaction disrupts current plans and operations and the potential difficulties in key employee retention as a result of the transaction; the effects of local and national economic, credit and capital market conditions on the economy in general, and on the gaming and lodging industries in particular; construction factors, including delays, increased costs for labor and materials; Fortress and Centerbridge's access to available and reasonable financing on a timely basis; changes in laws, including increased tax rates, regulations or accounting standards, third-party relations and approvals, and decisions of courts, regulators and governmental bodies; litigation outcomes and judicial actions, including gaming legislative action, referenda and taxation. Furthermore, Penn National Gaming does not intend to update publicly any forward-looking statements except as required by law. The cautionary advice in this paragraph is permitted by the Private Securities Litigation Reform Act of 1995.


Front Page News

April 17, 2008 10:01 AM Eastern Daylight Time


Arizona Technology Council Supports Passage of Omnibus Energy Bill Designed to Reduce Statewide Energy Use

The Future Economic Growth of Arizona is Dependent on the State’s Ability to Meet Burgeoning Energy Demands

PHOENIX--(BUSINESS WIRE)--The Arizona Technology Council today announced its support for Senate passage of the engrossed version of Arizona House of Representatives bills, HB 2766, also known as the Energy Omnibus Act of 2008, as well as HB 2333, HB 2614 and HB 2615. This legislation is designed to create energy efficiency standards for residential and commercial construction, state buildings and schools in order to reduce statewide energy use. The package also addresses renewable energy goals for public utilities, engine idling and requires a study of greenhouse gas emissions from motor vehicle fuels.

“This legislation is about planning for Arizona’s future economic growth with technology and innovation at the core,” said Steven Zylstra, president and CEO of the Arizona Technology Council. “Passage is critical to ensure that Arizona’s technology and innovation assets can continue to grow at a healthy rate and provide a robust job base.”

The bill package establishes, as a state goal, increasing energy efficiencies and the development of energy resources that are renewable and emit little to no carbon. Additional measures listed in the bills include energy efficiency goals for schools and state agencies, property tax incentives, appliance standards, engine idling and net metering. The bill also requires that at least 15 percent of the electricity used by large public power utilities be generated from renewable sources of energy. This provides an innovative way to reduce overall costs and rate increases to Arizona customers, while reducing carbon emissions.

“Fundamentally, this package of bills is about supply and demand for electricity and fuels for Arizona,” said Arizona State Representative Lucy Mason, R-District 1, the primary sponsor for the bills. “It is imperative that we show leadership in order to provide the sources of energy that will be needed to meet customer demand and support the state’s economy.”

New proposed statutes reflect Arizona’s aggressive new plan to generate electricity in Arizona from renewable sources, which will encourage new businesses for manufacturing the components, technologies and assemblages for electrical generation plants as well as ancillary businesses to provide services and products.

“Since the primary source of energy Arizona is known for is solar, with over 300 days of sunshine per year on average, we must use what we have,” added Mason. “Arizona has everything to gain from this new package of legislation and nothing to lose. Providing new construction, new high paying manufacturing and engineering jobs rejuvenates our lagging economy, while ensuring utility companies’ ability to meet the electrical demands from growth. Instead of sending hundreds of millions of dollars out of state to purchase wind or solar power from Wyoming, New Mexico, or California we will be able to build renewable power plants in Arizona to utilize our sunshine, and we will build these generation plants from Arizona manufactured components.”

About the Arizona Technology Council

Since its inception in 2002, the Arizona Technology Council has stood as the largest association of technology companies in Arizona, whose shared vision is for the state to be recognized as a top-tier center for technology-based businesses. The Council works to carry out this vision by driving partnerships, policies and programs that advance the business climate for Arizona’s technology community. By representing, supporting and advocating for member companies through initiatives, advocacy, networking and effective communications, the Arizona Technology Council has had tremendous success in moving Arizona toward becoming a top-tier technology state.

The Arizona Technology Council represents 35,000-plus employees at more than 450 of the leading technology companies across Arizona. Represented industries include advanced manufacturing, aerospace, biotechnology, e-learning, environmental technology, software, Internet applications, semiconductors and telecommunications. To become a member or to learn more about the Arizona Technology Council, please visit http://www.aztechcouncil.org


Front Page News

April 16, 2008 07:52 PM Eastern Daylight Time


Penn National Gaming Secures Transaction Approvals from the Pennsylvania State Horse Racing Commission and New Mexico Racing Commission

WYOMISSING, Pa.--(BUSINESS WIRE)--Penn National Gaming, Inc. (PENN: Nasdaq) (the “Company”) today announced it received approvals from the Pennsylvania State Horse Racing Commission, subject to the completion of the suitability investigation being conducted by the Pennsylvania Gaming Control Board, and the New Mexico Racing Commission for the pending merger of the Company and certain funds managed by affiliates of Fortress Investment Group LLC (NYSE: FIG) (“Fortress”) and Centerbridge Partners, L.P. (“Centerbridge”).

On June 15, 2007, Penn National Gaming announced that it had entered into a definitive agreement to be acquired by certain funds managed by affiliates of Fortress and Centerbridge. Penn National Gaming is seeking to complete the merger late in the second quarter of 2008. The timing of the closing is subject to obtaining certain regulatory approvals and satisfying other customary closing conditions.

As previously reported, in November 2007, the Ohio Racing Commission approved the merger, subject to the delivery of several additional documents. At a special meeting of shareholders held on December 12, 2007, Penn National Gaming shareholders approved the merger agreement. Also, in December 2007, the applicable waiting period under the Hart-Scott-Rodino Act expired without Fortress, Centerbridge or the Company receiving a second request for information. On February 6, 2008, the New Jersey Racing Commission approved the merger, subject to several customary conditions. On March 20, 2008, the West Virginia Lottery Commission approved the merger (however the West Virginia Racing Commission is still reviewing the transaction). On April 15, 2008, the New Mexico Gaming Control Board approved the merger subject to several customary conditions.

Under the terms of the agreement, if the merger is completed by June 15, 2008, the Company’s shareholders will be entitled to receive $67.00 in cash, without interest, for each share of Company common stock they own. If the merger is not completed by June 15, 2008, the $67.00 per share merger consideration will be increased $0.0149 per day.

In connection with the pending merger, Penn National Gaming filed a definitive proxy statement and other documents with the Securities and Exchange Commission that include additional information on the transaction (see “About the Transaction” at the end of this news announcement).

About Penn National Gaming

Penn National Gaming owns and operates gaming and racing facilities with a focus on slot machine entertainment. The Company presently operates nineteen facilities in fifteen jurisdictions, including Colorado, Florida, Illinois, Indiana, Iowa, Louisiana, Maine, Mississippi, Missouri, New Jersey, New Mexico, Ohio, Pennsylvania, West Virginia, and Ontario. In aggregate, Penn National’s operated facilities feature over 25,000 slot machines, approximately 400 table games, over 1,730 hotel rooms and more than 900,000 square feet of gaming floor space.

About the Transaction

In connection with the pending merger, Penn National Gaming filed a Definitive Proxy Statement and other documents with the Securities and Exchange Commission (the “SEC”). INVESTORS AND SECURITY HOLDERS ARE STRONGLY ADVISED TO READ THE DEFINITIVE PROXY STATEMENT AND OTHER DOCUMENTS, BECAUSE THEY CONTAIN IMPORTANT INFORMATION. Investors and security holders may obtain a free copy of the Definitive Proxy Statement and other documents filed by Penn National Gaming, Inc. at the SEC’s Web site at http://www.sec.gov .

The Definitive Proxy Statement and other such documents may also be obtained for free by directing such request to Penn National Gaming, Inc. Investor Relations, 825 Berkshire Boulevard, Wyomissing, PA 19610 or on the company’s website at www.pngaming.com.

Forward-looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Actual results may vary materially from expectations. Penn National Gaming describes certain of these risks and uncertainties in its filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K for the year ended December 31, 2007. Meaningful factors which could cause actual results to differ from expectations described in this press release include, but are not limited to, the occurrence of any event, change or other circumstances that could give rise to the termination of the agreement with Fortress and Centerbridge; the outcome of any legal proceedings that may be instituted against Penn National Gaming related to the merger agreement; the inability to complete the transaction due to the failure to satisfy other conditions to completion of the merger, including the receipt of all regulatory approvals related to the merger; risks that the pending transaction disrupts current plans and operations and the potential difficulties in key employee retention as a result of the transaction; the effects of local and national economic, credit and capital market conditions on the economy in general, and on the gaming and lodging industries in particular; construction factors, including delays, increased costs for labor and materials; Fortress and Centerbridge's access to available and reasonable financing on a timely basis; changes in laws, including increased tax rates, regulations or accounting standards, third-party relations and approvals, and decisions of courts, regulators and governmental bodies; litigation outcomes and judicial actions, including gaming legislative action, referenda and taxation. Furthermore, Penn National Gaming does not intend to update publicly any forward-looking statements except as required by law. The cautionary advice in this paragraph is permitted by the Private Securities Litigation Reform Act of 1995.


Front Page News

April 16, 2008 04:31 PM Eastern Daylight Time


Schedule Established for PNM Emergency Fuel Clause Request

ALBUQUERQUE, N.M.--(BUSINESS WIRE)--State regulators today established the procedural schedule regarding a request for an emergency fuel clause by PNM Resources’ (NYSE: PNM) New Mexico electric utility, PNM. The schedule is as follows:

May 9 N.M. Public Regulation Commission staff and intervenor testimony due
May 14 PNM rebuttal testimony due
May 15 Public hearing

The due date for the PRC’s final order regarding PNM’s rate case increase remains May 7.

PNM had requested an expedited process for consideration of an emergency fuel clause. However, certain intervenors in the case asked for a 60-day delay in order to review PNM's request and file testimony. In an effort to address the emergency nature of PNM's request and provide intervenors more time, Commissioners delayed the case by a month.

Background

PNM Resources (NYSE: PNM) is an energy holding company based in Albuquerque, N.M., with 2007 consolidated operating revenues from continuing and discontinued operations of $2.4 billion. Through its utility and energy subsidiaries, PNM Resources serves electricity to approximately 835,000 homes and businesses in New Mexico and Texas and natural gas to nearly 492,000 customers in New Mexico. Its utility subsidiaries are PNM and Texas-New Mexico Power. Another subsidiary is First Choice Power, a deregulated competitive retail electric provider in Texas. With generation resources of more than 2,650 megawatts, PNM Resources and its subsidiaries market power throughout the Southwest, Texas and the West. In addition, the company has a 50-percent ownership of EnergyCo, which owns approximately 920 megawatts of generation. For more information, visit www.PNMResources.com


Front Page News

Election Year

April 16, 2008 04:14 PM Eastern Daylight Time


Presidential Candidates Join Governors in Support of a White House Conference on Children and Youth

WASHINGTON--(BUSINESS WIRE)--Democratic Presidential contenders Senator Barack Obama (D-IL) and Senator Hillary Rodham Clinton (D-NY) have joined 11 of their Senate colleagues and 46 Members in the House in signing onto legislation that calls for re-establishing the White House Conference on Children and Youth.

Addressing the critical needs of America’s most vulnerable population, Congressman Chaka Fattah (D-PA) and Congressman Jon Porter (R-NV) united in bi-partisan support to introduce H. R. 5461, the White House Conference on Children and Youth in 2010 Act. The legislation would reinstate the conference that’s been inactive for 30 years. Senators Mary Landrieu (D-LA) and Chuck Hagel (R-NE) have introduced the Senate companion bill S. 2771.

Congressman Fattah said, “The support of Senators Obama and Clinton is critical. It signifies that America’s next president will ensure the health and well being of our nation’s children are a priority.”

The latest statistics from the Child Welfare League of America show that more than 12 million children live in poverty. Nationwide an estimated 872,088 children have been abused or neglected, approximately 1 in 5 has a diagnosable mental disorder, and another 1 in 10 has a severe emotional or behavioral disorder causing significant impaired functioning at home, at school, or in the community.

The legislation has been endorsed by Governors from Florida, Maine, Michigan, New Mexico, Tennessee and Virginia.


Front Page News

April 16, 2008 07:00 AM Eastern Daylight Time


Healthy Fast Food Inc.’s 12 State Territory Expansion Underway

New Franchisee of EVOS Feel Great Fast Food Approved for Phoenix, AZ

HENDERSON, Nev.--(BUSINESS WIRE)--Healthy Fast Food, Inc. (OTCBB:HFFIU), continuing its expansion efforts of EVOS© Feel Great Fast Food™, announced today the newest franchisee of EVOS, USA, in HFFI’s 12 state territory. As the latest EVOS franchisee in HFFI’s 12-state territory, Evolutionary Fast Food, LLC. intends to open their first location in the Phoenix, AZ market this year.

“We loved the concept, as we feel the timing is right for healthier fast food that fits with the American life style,” said Richard Frakes, Owner of Evolutionary Fast Food, Inc. “We are excited to introduce the Phoenix area to the EVOS concept.” Evolutionary Fast Food, LLC. joins California Healthy Partners, LLP. as EVOS franchisees in Healthy Fast Food, Inc.’s 12 state territories.

“We welcome Evolutionary Fast Food to our territory and we are just delighted to work with them to introduce the concept to the Phoenix market,” said Hank Cartwright, CEO of Healthy Fast Food, Inc., an Area Representative of EVOS USA, Inc. “We look forward to expanding the EVOS brand in Healthy Fast Food’s territory.”

According to the National Restaurant Association, 65% of U.S. adults are either overweight or obese (NHANES), and 18.8% of children ages 6-11 years and 17.4% adolescents ages 12–19 years are overweight (NHANES). “These statistics are frightening,” said Cartwright. “People need to have healthier options, even in fast food.”

EVOS offers something for everyone by only using unique ingredients/recipes and alternative cooking techniques, which results in high-quality nutrition and 50-70% lass fat, calories, and cholesterol, than comparable food items offered at other restaurants. The menu offers a variety of burgers including naturally grown, hormone and antibiotic-free beef; cholesterol-free, protein rich soy; vegetable; lean turkey; hormone-free chicken breast; and trout burgers, yes, trout. And remember, nothing is fried. You can order chicken and vegetable wraps, organic salads, real fruit shakes, organic milkshakes, and of course, fries, EVOS Original AirfriesTM. They are air-baked, resulting in 50% less fat than traditional fries.

ABOUT HEALTHY FAST FOOD, INC.

Healthy Fast Food is in the business of owning and operating EVOS restaurants and soliciting prospects for EVOS restaurant franchises. EVOS restaurants serve American favorites such as burgers, fries, and shakes that are lower in fat and calories than most of the fast food restaurants that offer the same items. EVOS restaurants also use cooking techniques, such as baking instead of frying, and high quality, healthy ingredients to create healthier items.

Healthy Fast Food is a franchisee and area representative with an exclusive right to develop EVOS restaurants in a 12-state territory: Arizona, California, Colorado, Kansas, Nevada, New Mexico, Ohio, Oklahoma, Oregon, Texas, Utah and Washington. Healthy Fast Food’s territory, its operations, finances and management are separate from those of EVOS USA, Inc. It has a contractual relationship with EVOS USA, Inc. but is not a partner or affiliate of that company.

ABOUT EVOS, USA

EVOS® is a quick-service restaurant chain experiencing rapid national growth. EVOS opened its first test store in 1994. Dino Lambridis, Alkis Crassas and Michael Jeffers have successfully expanded the business to include four stores in Florida and one in Nevada since starting franchise expansion in 2006. Their philosophy is to use healthier ingredients such as naturally-raised, hormone/antibiotic-free beef and organic ingredients. The result is 50-70% less fat without sacrificing flavor. The company also employs sustainable business practices that range from purchasing renewable wind energy to utilizing environmentally-friendly materials in the building of its stores. EVOS has successfully signed area rep and franchise agreements in 15 states for more than 200 stores over 10 years. Additional information is available on the company’s website at www.evos.com


Front Page News

Native American Gaming

April 15, 2008 04:01 PM Eastern Daylight Time PermalinkTo save a permanent link to this news, right-click the dateline (Ctl-click on a Mac) to copy the link.
Multimedia Games Reports Installed Base of Player Terminals and Product Mix at March 31, 2008
AUSTIN, Texas--(BUSINESS WIRE)--Multimedia Games, Inc. (Nasdaq: MGAM) (“Multimedia”) today reported its total player terminal installed base and product mix as March 31, 2008, and provided updates on the markets served by Multimedia.

Installed Base / Product Mix Update:

The table below sets forth Multimedia’s end-of-period, installed player terminal base by product line or market for the monthly periods ended March 31, 2008 and February 29, 2008.

Month
Ended 		  Reel
Time
Bingo® 		  Legacy
&
Other(1) 		  Total
Class II
& Other 		  Class III

Units(2)

  Mexico
Electronic
Bingo
Units 		  Charity
Units 		  Total
Units
3/31/2008   2,223   563   2,786   5,169   4,039   2,469   14,463
2/29/2008   2,988   590   3,578   4,656   3,835   2,469   14,538



(1) Includes 252 traditional electronic bingo games installed in certain international markets.

(2) “Class III Units” as of 3/31/2008 and 2/29/2008 include 50 units installed in Rhode Island. The balance of the unit totals for both periods reflect the placement of units pursuant to the approved gaming compact between Native American tribes, racetracks and the State of Oklahoma, including Multimedia’s and other vendors’ stand-alone games.


Multimedia had units installed at 16 locations in Mexico as of March 31, 2008 and at 15 locations as of February 29, 2008.

Multimedia had 25 Reel Time Bingo® units installed in California at March 31, 2008 and 313 units at February 29, 2008. The reduction in the installed base is a result of changes at tribal customer facilities following California voters’ approval in February of two referenda that allow four tribes in California to increase the number of Class III games they operate.

Consistent with its goal of optimizing net gaming revenue, Multimedia continues the strategic transition of its Oklahoma installed base of linked, standard sequence bingo games and server-based compact games to one-touch, stand-alone offerings. The table below breaks out by product line Multimedia’s end-of-period, Oklahoma installed player terminal base at March 31, 2008 and February 29, 2008. As of March 31, 2008, Multimedia had placed approximately 389 proprietary stand-alone units at Oklahoma tribal gaming facilities.

Month
Ended 		  Total
Class II
Units 		  Stand-Alone
Units 		  Other
Compact
Units(1) 		  Total
Compact
Units 		  Total
Units
3/31/2008   1,183   4,902   217   5,119   6,302
2/29/2008   1,589   4,418   188   4,606   6,195


(1) “Other Compact Units” represents server-based games.


Multimedia expects to meaningfully increase its floor presence in Oklahoma in 2008 due in large part to the completion of a key customer’s expanded facility in southern Oklahoma. The initial phase of the facility expansion is expected to open in July 2008, at which time Multimedia expects to add 725 units to its installed base at the facility. Thereafter, Multimedia expects to add 500 additional units in September 2008 and 175 additional units in November 2008 as the facility expansion is completed, for an aggregate anticipated increase in the installed base at the facility of 1,400 units over the next 8 months.

In the New York Lottery market, Multimedia provides the central determinant system for video lottery terminals (“VLTs”) at racetracks in the state, for which it receives 0.75% of the net gaming win for all units installed on the system. As of March 31, 2008, there were approximately 13,000 VLTs installed at racetracks in the state, slightly below the level reported at February 29, 2008. The reduction reflects a planned re-allocation of floor space at the Empire City facility at Yonkers Raceway as it added non-VLT amenities.

Bank Credit Facility:

The outstanding balance as of March 31, 2008 of Multimedia’s $150 million bank credit facility was approximately $101 million, compared with $100 million at February 29, 2008.

About the Company

Multimedia Games is a leading developer and supplier of comprehensive systems, content, electronic games and player terminals for the Native American gaming market, as well as for the casino, charity and international bingo, video lottery, and sweepstakes markets. Multimedia's ongoing development and marketing efforts focus on gaming systems and products for use by Native American tribes throughout the United States, the commercial casino market, video lottery systems and other products for domestic and international lotteries, and products for charity and international bingo and emerging markets, including sweepstakes, promotional, amusement with prize, and coupon gaming opportunities. Additional information may be found at www.multimediagames.com.

Cautionary Language

This press release provides updated information concerning only certain aspects of our operations. In particular, we have provided an update on the number of player terminals placed through the end of March, 2008, the number of Reel Time Bingo units installed in California and our expectations regarding the impact of new regulations in California on our operations in the state; the status of our efforts in Oklahoma to convert linked, standard-sequence bingo games and server based compact games to stand-alone machines; the number of installed VLTs in New York State; and the status of borrowings under our bank credit facility. Investors are cautioned, however, that our operating results are determined by a number of factors not discussed in this release, including, without limitation, the average hold per day achieved by our machines, our economic arrangements with our customers, and regulatory and other developments which may be difficult to foresee. Accordingly, the information provided in this update may not be indicative of our operating results for this quarter or future quarters.

This press release contains forward-looking statements based on Multimedia's current expectations. The word "expects," “will” and similar words and phrases as they relate to Multimedia are intended to identify such forward-looking statements. These forward-looking statements reflect the current views and assumptions of Multimedia, and are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. These risks and uncertainties include, but are not limited to, the risks that for regulatory, competitive or other reasons Multimedia does not increase the number of placed units in Oklahoma on the schedule or in the amounts Multimedia expects and the key customer’s expanded facility does not open on the anticipated schedule. Other important risks and uncertainties that may affect Multimedia's business and operations are detailed from time to time in the "Certain Risks" and "Risk Factors" sections and elsewhere in Multimedia's filings with the Securities and Exchange Commission. Multimedia disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.


Front Page News

April 15, 2008 11:47 AM Eastern Daylight Time


Don Sebastiani & Sons Announces Sales Force Reorganization

SONOMA, Calif.--(BUSINESS WIRE)--Don Sebastiani & Sons International Wine Negociants today announced a reorganization of its sales force that includes internal promotions. The moves were made with the goal of sustaining the rapid expansion of the company’s The Other Guys division, as well as supporting the up-market repositioning of the company’s Three Loose Screws portfolio.

Donny Sebastiani, formerly company marketing director, has been promoted to chief marketing officer. In his new role, Sebastiani will continue to direct the company’s marketing efforts and will also assume direction of the Three Loose Screws (TLS) sales team. Eric Rabinoff, senior vice president of sales and national sales manager for TLS, will report to Sebastiani.

Two additional reassignments in the TLS division also were announced.

Lou Barbero, most recently the market manager for TLS in San Francisco, has been promoted to Northwest area manager. Barbero will now be responsible for TLS marketing and distribution in Washington, Oregon, Alaska, Idaho, Montana, Wyoming and Utah. He will be based in Seattle.

Barbero, who holds a bachelor’s degree from the University of Vermont and a master’s degree from San Francisco State University, has extensive wine industry experience, including sales and marketing positions with Southern Wine & Spirits, Ruby Wines of Massachusetts and Treana Winery in Paso Robles, CA. He joined the sales team at Don & Sons in 2006.

Bryan Snyder, a district manager with Don & Sons since 2005, has been promoted to Northwest market manager for Washington and Oregon, reporting to Barbero. In this capacity, he will manage all chain store and distributor relations for the company in those two states.

Snyder holds a bachelor’s degree from Washington State University and has a wide background in wine sales and marketing throughout the Pacific Northwest. Before joining Don & Sons, he worked for Columbia Distributing in Kennewich, WA, and at Odom Northwest Beverages in Spokane.

Rapid expansion of The Other Guys (TOG) division, which focuses on marketing super upscale premium wines through independently owned retail establishments and key on-premise accounts, has led to a consolidation of its sales force under the direction of Jean Arnold, national sales manager.

In other TOG moves, Steve Bei, formerly in charge of managing TOG’s California broker network, has been named director of market development for the West Coast, and Matt Scarlet, who previously was the Northwest district manager for Don & Sons’ Three Loose Screws division, has been promoted to Midwest Region market development manager for TOG.

In his new role, Bei will continue to work with the California broker network, but will also oversee TOG’s distributor network in Washington, Oregon, Idaho, Nevada, Montana, Utah, Wyoming, Colorado, New Mexico and Arizona. He also will join Don and August Sebastiani on a special team that will explore strategic alternatives for the expansion of TOG.

Bei is a native of San Francisco who grew up in Sonoma County, but lived in England during his high school years. A graduate of the University of California at San Diego, Bei worked in sales for Sebastiani Vineyards, Merryvale Vineyards and Foster’s Wine Estates before joining Don & Sons in January of 2007. He and his wife, Amy, reside in Sonoma.

Scarlet, who will be based in Chicago, will handle TOG’s distributor network throughout the Midwest. Scarlet holds a bachelor’s degree from the University of Puget Sound in Tacoma, WA, where he played four years of college basketball. He began his wine career in the Management Development Program of E&J Gallo in Seattle, where he was a sales representative and district manager. He then worked for Young’s Columbia Distributing where he was an account executive. Scarlet joined Don & Sons in 2006 as Oregon State Manager for the Three Loose Screws division.

“This is a very exciting time for our company. I look forward to working closely with my brother, August, as we implement these bold new changes, with continued guidance from Dad and our COO, Richard Conley,” commented Donny Sebastiani.

Don Sebastiani & Sons is a family-owned wine negociant firm specializing in the marketing of upscale varietal wines. Principals Don Sebastiani and sons, Donny and August, are third and fourth generation California vintners and merchants. The company is headquartered in Sonoma Valley and has a winery in the Napa Valley. Don Sebastiani & Sons’ fast-growing The Other Guys portfolio is currently expanding at an annual growth rate of 200%: the more established Three Loose Screws portfolio includes Impact Hot Brands Smoking Loon and Pepperwood Grove.


Front Page News

April 15, 2008 10:00 AM Eastern Daylight Time 

Quarterly Earnings Increase 18% at BOK Financial

Net Interest Revenue Up 14%

TULSA, Okla.--(BUSINESS WIRE)--BOK Financial Corporation (NASDAQ:BOKF) reported an 18% increase in earnings for the first quarter of 2008 compared to the first quarter of 2007. Net income totaled $62.3 million or $0.92 per diluted share compared with $52.8 million or $0.78 per diluted share for the first quarter of 2007. Net income totaled $51.2 million or $0.76 per diluted share for the fourth quarter of 2007.

Highlights of the first quarter of 2008 included:

  • Net interest margin was 3.31% for the first quarter of 2008, down 1 basis point from the first quarter of 2007 and up 9 basis points from the fourth quarter of 2007. Net interest revenue increased 14% over the first quarter of 2007 and 16% annualized over the fourth quarter of 2007.

  • Average outstanding loans increased 12% over the first quarter of 2007. Period-end annualized loan growth rate was 12% since the end of the fourth quarter of 2007.

  • Non-performing assets totaled $126 million or 1.02% of outstanding loans at March 31, 2008, up from $104 million or 0.87% of outstanding loans at December 31, 2007 and $50 million or 0.45% of outstanding loans at March 31, 2007.

  • Net loans charged off and provision for credit losses were $8.9 million and $17.6 million, respectively, for the first quarter of 2008 compared with net loans charged off of $7.3 million and provision for credit losses of $13.2 million for the fourth quarter of 2007 and $3.1 million and $6.5 million for the first quarter of 2007.

  • Fees and commissions revenue increased 24% over the first quarter of 2007 and 2% annualized over the fourth quarter of 2007. Brokerage and trading revenue grew 80% over the first quarter of 2007 and 69% annualized over the previous quarter. All major categories of fee revenue increased over the same period last year.

  • Operating expenses were up 16% over the first quarter of 2007. Personnel expenses increased 12% from incentive compensation which is linked to revenue growth. Operating expenses increased 3% annualized over the fourth quarter of 2007 excluding changes in the contingent obligation to support Visa’s antitrust litigation.

“The Company benefitted from our strong balance sheet growth across our markets and from our diversified mix of fee revenue,” said President and CEO Stan Lybarger. “Combined with a modest increase in net interest margin and controlled expense growth, we enjoyed a strong start to 2008.”

Visa Initial Public Offering Benefits and Securities Impairment Charges

During the first quarter of 2008, the Company recognized income of $6.8 million ($4.4 million after-tax) for cash received from Visa’s initial public offering. This represented a partial redemption of the Company’s interest in Visa’s Class B shares. In addition, the Company reversed its $2.8 million contingent liability to support Visa’s antitrust litigation costs, which was previously accrued in the fourth quarter of 2007. Visa established an escrow fund with a portion of the proceeds of its initial public offering for payments related to litigation matters.

Also during the first quarter of 2008, the Company recognized an additional $5.3 million pre-tax reduction in the fair value of its holdings of variable rate perpetual preferred stock issued by six major banks and brokerage houses. These issuers remain rated investment grade by the major rating agencies and all scheduled dividend payments on these preferred stocks have been made. However, based on continued weakness in the financial sector, it was management’s judgment that recovery of fair value of these securities to at least the cost basis established at the end of the fourth quarter was not expected in the near term. The carrying value of preferred stocks which equals their March 31, 2008 fair value was $27.5 million.

Transactions related to Visa and to the impairment of preferred stocks provided $2.7 million or $.04 per share to net income for the first quarter of 2008. Similar transactions reduced net income $7.4 million or $0.11 per share in the fourth quarter of 2007.

Net Interest Revenue

Net interest revenue totaled $147.0 million for the first quarter of 2008, up $18.2 million or 14% over the first quarter of 2007 and $5.7 million or 16% annualized over the fourth quarter of 2007. Average earning assets increased $2.1 billion or 13% over the first quarter of 2007, including a $1.3 billion increase in average outstanding loans and a $764 million increase in average securities. Growth in the securities portfolio generally consisted of highly-rated, fixed-rate mortgage-backed securities. These securities supplement the Company’s earnings and help manage the balance sheet to a position that is essentially neutral to changes in interest rates.

Growth in average earning assets was funded primarily by a $1.1 billion or 33% increase in average federal funds purchased and other borrowed funds. In addition, average deposits were up $1.0 billion or 9% over the first quarter of 2007. Average interest-bearing transaction accounts increased $1.4 billion or 23%, and average time deposits decreased $195 million or 4% compared with the first quarter of 2007. Average demand deposits decreased $161 million or 12%.

Net interest margin was 3.31% for the first quarter of 2008 compared with 3.32% for the first quarter of 2007 and 3.22% for the fourth quarter of 2007. Yields on average earning assets decreased 85 basis points to 6.17% and the cost of interest-bearing liabilities decreased 103 basis points to 3.11% compared with the first quarter of 2007. Loan yields decreased 134 basis points to 6.59% while securities yields increased 24 basis points to 5.17%. The cost of interest bearing deposits decreased 73 basis points to 2.99%, and the cost of funds purchased and other borrowings decreased 204 basis points. Competition for deposits in all our markets limited our ability to move deposit rates down as the Federal Reserve eased rates. The benefit to the net interest margin from earning assets funded by non-interest bearing liabilities was 25 basis points in the first quarter of 2008 compared with 44 basis points in the first quarter of 2007 and 33 basis points in the preceding quarter.

Loans and Deposits

Outstanding loans totaled $12.4 billion at March 31, 2008, up $370 million or 12% annualized since December 31, 2007. The outstanding balance of commercial loans increased $219 million or 13% while the outstanding balance of commercial real estate loans increased $81 million or 12% compared with the preceding quarter’s end. Commercial real estate loans comprised 23% of the total loan portfolio at March 31, 2008. Consumer loans, which consisted primarily of indirect automobile loans, were up $56 million or 24% annualized.

All major sectors of the commercial loan portfolio increased since December 31, 2007. Energy loans, which totaled $2.0 billion or 16% of the loan portfolio were up $12 million or 2% annualized. The services and wholesale / retail sectors of the portfolio increased to $1.8 billion and $1.2 billion, respectively. Commercial loan growth was focused primarily in the Texas, Kansas and Arizona markets.

Commercial real estate loans secured by land development and residential construction totaled $1.1 billion or 9% of the loan portfolio at March 31, 2008. Loans secured by other commercial real estate, primarily office, retail or industrial properties, totaled $1.5 billion. Commercial real estate loan growth was focused primarily in the Oklahoma and Arizona markets.

Total deposits decreased $130 million during the first quarter of 2008. Time deposits decreased $347 million and interest-bearing transaction accounts increased $233 million. Funds continued to shift from time deposits to interest-bearing transaction accounts. The reduction in interest rates offered on longer-term time deposits during the first quarter was greater than the reduction in rates offered on interest-bearing transaction accounts. Demand deposit accounts totaled $1.9 billion at March 31, 2008, down $19 million since December 31.

Credit Quality

Non-performing assets totaled $126 million or 1.02% of outstanding loans and repossessed assets at March 31, 2008 compared with $104 million or 0.87% at December 31, 2007 and $50 million or 0.45% at March 31, 2007. Non-performing assets included $10 million of non-accruing loans and repossessed assets acquired with First United Bank in the second quarter of 2007. The Company will be reimbursed by the sellers up to $8 million for losses incurred on any acquired loans during a three-year period after the acquisition date. Non-performing assets also included $8.4 million of residential mortgage loans guaranteed by agencies of the U.S. government. Excluding assets subject to these guarantees, non-performing assets totaled $108 million or 0.88% of outstanding loans and repossessed assets at March 31, 2008.

Non-performing commercial loans totaled $42 million at March 31, 2008, down from $43 million at December 31, 2007. Approximately $24 million of non-performing commercial loans are in the services sector of the portfolio. Non-performing commercial real estate loans totaled $40 million at March 31, 2008 and $25 million at December 31, 2007. Non-performing commercial real estate loans were primarily distributed among our various markets, $17 million in Arizona, $10 million in Oklahoma, and $5 million in New Mexico. Approximately $29 million of non-performing commercial real estate loans were for residential construction and land development, including $16 million in Arizona and $7 million in Oklahoma. All non-performing commercial and commercial real estate loans are secured and individually are less than $10 million.

Real estate and other repossessed assets grew to $15 million at March 31, 2008 from $9 million at December 31, 2007. The March 31 total included $7.5 million of residential properties located primarily in the Oklahoma and Colorado markets. Approximately $1.9 million of real estate and other repossessed assets were subject to the First United sellers’ escrow.

“We are seeing the effect of deterioration in the Arizona housing market. Approximately 10.4% of our $155 million in land development and construction loans in Arizona are non-performing,” said Chief Financial Officer Steven Nell. “Overall, the remainder of our loan portfolio continues to perform well.”

The combined allowance for loan losses and off-balance sheet credit losses totaled $156 million or 1.27% of outstanding loans and 158% of non-accruing loans at March 31, 2008. The allowance for loan losses was $137 million and the reserve for off-balance sheet credit losses was $19 million. At December 31, 2007, the combined allowance for loan losses and off-balance sheet credit losses totaled $148 million or 1.24% of outstanding loans and 175% of non-accruing loans. The allowance for loan losses was $127 million and the reserve for off-balance sheet credit losses was $21 million.

The provision for credit losses totaled $17.6 million or $8.7 million more than net loans charged-off for the first quarter of 2008. During the first quarter of 2007 the provision for credit losses exceeded net loans charged-off by $3.4 million.

Fees and Commission Revenue

Fees and commission revenue increased $22.4 million or 24% compared with the first quarter of 2007 and $633 thousand or 2% annualized over the fourth quarter of 2007. Brokerage and trading revenue grew $10.6 million or 80% compared with the first quarter of 2007 and $3.5 million or 69% annualized compared with the fourth quarter of 2007 due to improved market conditions for institutional securities sales.

Deposit service charges increased $3.1 million or 12% over the first quarter of 2007, but decreased $2.3 million compared with the fourth quarter of 2007. Seasonal changes in overdrafts reduced fee revenue $2.4 million from the previous quarter. Trust revenue was up $1.8 million or 9% over the first quarter of 2007 and $651 thousand or 13% annualized over the fourth quarter of 2007. The fair value of trust assets totaled $35.5 billion at March 31, 2008, up 7% from March 31, 2007 and down 8% annualized from December 31, 2007.

Operating Expenses

Operating expenses for the first quarter of 2008 totaled $153.4 million, up $21.3 million or 16% compared with the first quarter of 2007 due largely to increased personnel, occupancy and data processing costs related to acquisitions in the second quarter of 2007. Operating expenses were down $4.3 million compared to the previous quarter. Changes in the Company’s contingent liability to support Visa’s litigation costs decreased operating expenses $2.8 million in the first quarter of 2008 and increased operating expenses $2.8 million in the fourth quarter of 2007.

Personnel expense totaled $88.1 million for first quarter of 2008, a $9.8 million or 12% increase over the same period of 2007. Incentive compensation expense was up $4.6 million due largely to brokerage and trading revenue growth. Personnel expense increased $3.6 million or 17% annualized over the fourth quarter of 2007. Payroll taxes provided $2.0 million of the increased personnel expense.

Non-personnel operating expenses totaled $65.3 million for the first quarter of 2008 compared with $53.8 million for the first quarter of 2007 and $73.2 million for the fourth quarter of 2007. FDIC insurance expense increased $2.9 million to $3.5 million for the first quarter of 2008. The Company also provided $2.5 million for loss exposure on mortgage loans sold with recourse, up $2.9 million from the first quarter of 2007 and $1.4 million from the fourth quarter of 2007.

Capital Management

The Company’s tangible capital ratio was 7.83% at March 31, 2008, up from 7.72% at December 31, 2007. As of December 31, 2007, the Company’s tangible capital ratio was the eighth highest of the 50 largest US banks. During the first quarter of 2008, the Company paid $4.7 million to repurchase 91,114 common shares. Cash dividends paid during the first quarter of 2008 totaled $13.5 million or $0.20 per common share.

About BOK Financial Corporation

BOK Financial is a regional financial services company that provides commercial and consumer banking, investment and trust services, mortgage origination and servicing, and an electronic funds transfer network. Holdings include Bank of Albuquerque, N.A., Bank of Arizona, N.A., Bank of Arkansas, N.A., Bank of Oklahoma, N.A., Bank of Texas, N.A., Colorado State Bank & Trust, N.A., Bank of Kansas City, N.A., BOSC, Inc., the TransFund electronic funds network, and Southwest Trust Company, N.A. Shares of BOK Financial are traded on the NASDAQ under the symbol BOKF. For more information, visit www.bokf.com.

This news release contains forward-looking statements that are based on management’s beliefs, assumptions, current expectations, estimates and projections about BOK Financial, the financial services industry and the economy generally. Words such as “anticipates,” “believes,” “estimates,” “expects,” “forecasts,” “plans,” “projects,” variations of such words and similar expressions are intended to identify such forward-looking statements. Management judgments relating to and discussion of the provision and allowance for credit losses involve judgments as to future events and are inherently forward-looking statements. Assessments that BOK Financial’s acquisitions and other growth endeavors will be profitable are necessary statements of belief as to the outcome of future events based in part on information provided by others which BOK Financial has not independently verified. These statements are not guarantees of future performance and involve certain risks, uncertainties, and assumptions which are difficult to predict with regard to timing, extent, likelihood and degree of occurrence. Therefore, actual results and outcomes may materially differ from what is expected, implied or forecasted in such forward-looking statements. Internal and external factors that might cause such a difference include, but are not limited to (1) the ability to fully realize expected cost savings from mergers within the expected time frames, (2) the ability of other companies on which BOK Financial relies to provide goods and services in a timely and accurate manner, (3) changes in interest rates and interest rate relationships, (4) demand for products and services, (5) the degree of competition by traditional and nontraditional competitors, (6) changes in banking regulations, tax laws, prices, levies and assessments, (7) the impact of technological advances and (8) trends in consumer behavior as well as their ability to repay loans. BOK Financial and its affiliates undertake no obligation to update, amend or clarify forward-looking statements, whether as a result of new information, future events, or otherwise.

 
BALANCE SHEETS
BOK FINANCIAL CORPORATION
(In thousands)
 
    Period Ended
    March 31, &nbs