May 1, 2009 |
Title insurer First American Corp. said first-quarter profit rose after it cut staff and lowered other costs. Net income climbed 23% to $36 million, or 38 cents a share, compared with $29.3 million, or 32 cents, a year earlier, the Santa Ana firm said. Revenue declined 17% to $1.38 billion. First American cut 365 jobs in the quarter and reduced other costs to cope with less revenue from declining home sales. Title insurers protect buyers from liens and ownership disputes tied to properties changing hands.
August 1, 2008 |
Shares of title insurer First American Corp. jumped 12% after the company reported second-quarter profit that beat analysts' estimates. The Santa Ana company had net income of $42 million, or 45 cents a share, contrasted with a loss of $66 million, or 68 cents, a year earlier. Profit excluding an investment loss was about 48 cents a share, beating the 43-cent estimate of analysts surveyed by Bloomberg. "We reserved more than our competitors, so we're seeing claims come in in line with our expectations," Chief Executive Parker Kennedy said.
February 13, 2008 |
First American Corp. of Santa Ana, the largest U.S. title insurer ranked by revenue, and 13 other insurers have been sued by homeowners in New York over claims that they fixed prices. The title insurers fixed prices in New York at rates about 67% higher than the U.S. average, says a class-action complaint filed Feb. 1 in federal court in Central Islip, N.Y. The Title Insurance Rates Service Assn., or TIRSA, a group of state title insurers, functions as a cartel, the suit alleges.
January 16, 2008 |
First American Corp., the largest U.S. title insurer, will split into two publicly traded companies by separating its financial information and underwriting businesses. The stock rose 7.1%. The unit with the title and specialty insurance operations will be spun off to shareholders, the Santa Ana-based firm said in a statement Tuesday. The existing holding company, to be renamed, will consist primarily of businesses that provide data on mortgages, properties and credit.
December 21, 2007 |
Federal regulators are looking into allegations that mortgage lender Washington Mutual Inc. pressured First American Corp. of Santa Ana to inflate appraisals of homes nationwide. Washington Mutual, the nation's largest savings and loan, said Thursday that it was "voluntarily and fully cooperating" with probes by the Securities and Exchange Commission and the Office of Thrift Supervision, a U.S. Treasury Department agency that regulates federally chartered S&Ls.
November 17, 2007 |
First American Corp. agreed to a $5-million settlement to resolve a Florida investigation into whether it made improper payments to real estate agents and mortgage brokers to win business. The accord also calls for a monitor to review Santa Ana-based First American's business practices for one year, according to a statement from Florida's insurance commissioner.