Old Republic Announces $250 Million Convertible Note Offering and $250 Million Senior Note Offering

^{Published on 2011-03-02 06:35:26 - Market Wire}
 

Old Republic Announces $250 Million Convertible Note Offering and $250 Million Senior Note... -- CHICAGO, March 2, 2011 /PRNewswire/ --

CHICAGO, March 2, 2011 /PRNewswire/ -- Old Republic International Corporation (NYSE: ORI),today announced that it intends to offer, subject to market and other conditions, $250 million aggregate principal amount of convertible senior notes due 2018 and $250 million aggregate principal amount of senior notes due 2021 in concurrent registered underwritten public offerings. Old Republic intends to grant the underwriters a 30-day option to purchase up to an additional $37.5 million aggregate principal amount of the convertible notes to cover over-allotments, if any. Old Republic intends to use a portion of the net proceeds of the offerings to repay certain indebtedness assumed in connection with its recent acquisition of PMA Capital Corporation, and intends to use the remainder of the net proceeds for general corporate purposes, including the making of additional capital contributions to its insurance company subsidiaries as may be necessary. Morgan Stanley and UBS Investment Bank will act as joint bookrunning managers of the offerings.   Neither offering is conditioned on the other.

The convertible note and senior note offerings are being made pursuant to a registration statement filed with the Securities and Exchange Commission.  Copies of the preliminary prospectuses for the offerings may be obtained from Morgan Stanley & Co. Incorporated, 180 Varick Street, New York, New York 10014, Attention: Prospectus Department, Telephone: 866-718-1649, and UBS Securities LLC, 299 Park Avenue, New York, NY 10171, Attention: Prospectus Department, Telephone: 877-827-6444, ext. 561-3884.

This press release does not constitute an offer to sell or the solicitation of an offer to buy these securities, nor shall there be any offer or sale of these securities in any state or country in which such offer, solicitation or sale would be unlawful.  

About Old Republic

Chicago-based Old Republic International Corporation is an insurance holding company whose subsidiaries market, underwrite and provide risk management services for a wide variety of coverages, principally in the property and liability, mortgage guaranty and title insurance fields.

Safe Harbor Statement

This press release contains "forward-looking statements" within the meaning of the federal securities laws regarding, among other things, Old Republic's intention to issue the notes and its intended use of proceeds.  When used in this press release, the words "intendeds to," "anticipates," "expects," and similar expressions are intended to identify forward-looking statements.  Such statements are subject to a number of risks and uncertainties.  The success of the offerings and the sale of the notes are subject to a number of conditions, not all of which are within Old Republic's control.  There is no assurance that Old Republic will successfully complete the proposed offerings or apply the proceeds of the offerings as presently intended.  Actual results could differ materially and adversely from those described in the forward-looking statements as a result of various important factors, including the impact of changes in the national economy, changes in the interest rate environment, and other risk factors set forth in Old Republic's 2010 Form 10-K filed with the Securities and Exchange Commission.  Any forward-looking statements speak only as of their dates. Old Republic undertakes no obligation to publicly update or revise any such comments, whether as a result of new information, future events or otherwise, and accordingly they may not be unduly relied upon.

For the latest news releases and other corporate documents on Old Republic International visit [ www.oldrepublic.com ]

SOURCE Old Republic International Corporation

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