DONEGAL FINANCIAL SERVICES CORPORATION AND UNION NATIONAL FINANCIAL CORPORATION AMEND MERGER AGREEMENT
EXHIBIT
99.1
DONEGAL
FINANCIAL SERVICES CORPORATION
AND
UNION
NATIONAL FINANCIAL CORPORATION
AMEND
MERGER AGREEMENT
Xxxxxxx X. Xxxxxx, Senior Vice President & | Xxxx X. Xxxxxx, Chairman, President | |||
Chief Financial
Officer
|
& Chief
Executive Officer
|
|||
Donegal Financial Services Corporation | Union National Financial Corporation | |||
Phone: | (000) 000-0000 | Phone: | (000) 000-0000 | |
Fax: | (000) 000-0000 | Fax: | (000) 000-0000 | |
E-mail: | xxxxxxxxxx@xxxxxxxxxxxx.xxx | E-mail: | xxxxxxx@xxxx.xxx |
For Immediate
Release
MARIETTA
and LANCASTER, Pennsylvania, December 8, 2010 (GLOBENEWSWIRE) – Xxxxxx X.
Xxxxxxxx, President of Donegal Financial Services Corporation ("DFSC"), and Xxxx
X. Xxxxxx, Chairman, President and Chief Executive Officer of Union National
Financial Corporation ("UNNF") (OTC Bulletin Board: "UNNF.OB"), today jointly
announced the execution of an amendment to the Agreement and Plan of Merger as
previously amended, pursuant to which UNNF and DFSC would merge. The
amendment extends the date after which a party may terminate the merger
agreement under certain circumstances from December 31, 2010 to March 31,
2011.
As
previously announced, the shareholders of UNNF approved the merger agreement at
their special meeting on September 16, 2010. Regulatory approval of
the merger by the Office of Thrift Supervision is pending.
Donegal
Group Inc. (NASDAQ Global Select: "DGICA" and "DGICB") and Donegal Mutual
Insurance Company jointly own DFSC.
We
base all statements contained in this release that are not historic facts on our
current expectations. These statements are forward-looking in nature
(as defined in the Private Securities Litigation Reform Act of 1995) and involve
a number of risks and uncertainties. Actual results could vary
materially. Among the factors that could cause actual results to vary
materially include: our ability to maintain profitable operations,
the adequacy of our subsidiaries reserves for losses and loss adjustment
expenses, business and economic conditions in the areas in which we operate,
competition from various insurance and non-insurance businesses, terrorism, the
availability and cost of reinsurance, legal and judicial developments, changes
in regulatory requirements and other risks we describe from time to time in the
periodic reports we file with the Securities and Exchange
Commission. You should not place undue reliance on any such
forward-looking statements. We disclaim any obligation to update such
statements or to announce publicly the results of any revisions that we may make
to any forward-looking statements to reflect the occurrence of anticipated or
unanticipated events or circumstances after the date of such
statements.
-2-