The American Life Assurance Corporation (AL)

Assumption Agreement Executed, Closing Expected By End Of Month

The assumption reinsurance agreement among The American Life Assurance Corporation, NOLHGA, the participating guaranty associations and New Era Life was executed Jan. 15. Copies of the agreement were sent Jan. 15 to the five affected associations. The guaranty associations expect early board action on the agreement, and closing is scheduled tentatively for Jan. 30, pending court approval of the agreement.

Task Force Chair -- Mike Marchman;   Staff Contact - Joni Forsythe Coastal States Life Insurance Company (GA)

The liquidator on Jan. 9 filed with the Georgia Supreme Court response to petitions for writ of certiorari of the North Carolina insurance commissioner and FICA Marketing, Inc. Petitioners hope the Supreme Court will overturn the Georgia Court of Appeals decision to reverse the superior court's granting of administrative priority to the general creditor claims of the commissioner and FICA. It is expected that the ruling will take three to four months.

The petitions of the commissioner and FICA, and the liquidator's responses, soon will be available on NOLHGANet's Litigation Database.

Task Force Chair -- Jack Falkenbach;   Staff Contact - Kentucky Central Life Insurance Company (KY)

Task force representatives participated in the liquidator's quarterly asset management committee meeting Jan. 12 in Frankfort, Ky. Kentucky Central sold $20 million of real estate in 1997 and has sold more than $8.5 million during the first three weeks of 1998. KCL has scheduled the sale of an additional $95 million of real estate during 1998. Following the asset management meeting, task force representatives were briefed by the liquidator's legal counsel on the status of the Kentucky Central litigation.

Task Force Chair -- John Colpean;   Staff Contact - Joni Forsythe

ETC.

Membership Dues Invoices
Invoices for 1998 membership dues will be mailed the week of Jan. 19 to guaranty association administrators. Please direct questions to Jay Jagolta at 703/787-4109.

REMINDER: MPC Hotel Reservations Deadline
Jan. 22 is the deadline to reserve a room for the Feb. 23-25 MPC meeting in San Diego. Call the U.S. Grant Hotel at 800/237-5029 and mention NOLHGA to assure the special rate of $140 per night. Attendees are encouraged to guarantee their rooms for late arrival. Please call Krista Plumhoff at 703/787-4121 with any questions.

San Diego MPC Schedule
The following meetings have been confirmed:
Feb. 23: Administrators' Education Steering Committee, 1 pm PST
Feb. 24: National Heritage Task Force, 9 am PST

Other meeting dates and times are preliminary and will be published as soon as possible.

New Phone System at NOLHGA
NOLHGA has experienced some minor technical glitches with its new telephone and voice mail system. Callers are encouraged to let staff know about any problems they notice. Staff appreciates everyone's patience! Once the kinks have been ironed out, the new phone system will enable faster and more efficient service for members.

  Staff Contact - Sean McKenna

CALENDAR

Jan. 19 NOLHGA's offices closed in observance of Martin Luther King Jr. Day Jan. 29-30 NAIC/IAIR Liquidators' Workshop, La Jolla, Calif. Feb. 2-3 NOLHGA Board of Directors, MPC Executive Committee and Insolvency Task Force Chair, San Diego Feb. 3-4 NOLHGA Board of Directors, San Diego Feb. 23-25 Members' Participation Council, San Diego

  Staff Contact - Sean McKenna