News

The Boards of the Tuscarora Wayne Group of Companies Welcome Insurance Industry Veteran

The Tuscarora Wayne Group of Companies welcomes to its boards of directors a man who has served the insurance industry for almost four decades, much of it in a leadership role. Scott T. Burgess joins Donald E. Abrey, David E. Boedker, Jay W. Chadwick, Milton Garrison, John J. Griffin, Leo F. Hons, S. Bruce Kurtz, Steven W. Moore, Lloyd N. Nosker, Rollin P. Rissinger, and Randy B. Williams on the boards of the Tuscarora Wayne Mutual Group, Inc., Susquehanna Capital Corp., Tuscarora Wayne Insurance Company, Keystone National Insurance Company, and the Lebanon Valley Insurance Company, all headquartered in Wyalusing, Pennsylvania.

During an exceptional career Mr. Burgess first became associated with Tuscarora Wayne (TW) during his more than two decades with Munich Reinsurance America, Inc., TW's chief reinsurer, which he joined in 1980 when it was American Reinsurance Company. Mr. Burgess, a New Jersey resident, capped his career in the Philadelphia office of Willis Group, another global reinsurance specialist, as treaty producer and senior vice president, starting in 2003 until his recent retirement in 2011.

"We are pleased to welcome Scott aboard as Tuscarora Wayne continues to grow and thrive, and we expect his expertise and experience to help us achieve our prime mission of serving the underserved," said John J. Griffin, chairman of Tuscarora Wayne, in announcing Mr. Burgess's appointment.

Mr. Burgess entered the insurance arena in 1972 with Chubb & Son, Inc., where he held various underwriting and management positions out of their offices in New Jersey, Long Island and Minnesota. His formal education is also impressive, starting with an appointment to the U.S. Air Force Academy in Colorado Springs, CO and then a Bachelor of Science Degree in Marketing from the University of Maine.

He may be a recent retiree as an insurance professional, but Mr. Burgess, a licensed private pilot, continues to serve as Chairman of the Board for Chiropractic Village in Scottsdale, AZ. Aside from his love of flying, he is an avid golfer and is a member of the Spring Mill Country Club in Ivyland, PA, in picturesque Bucks County.

Mr. Burgess and his wife, Gail, reside in New Jersey, not far from the Pennsylvania border, and have two children, Kerri and Colin; a daughter-in-law, Christy; and two granddaughters, Taylor and Kaitlyn.

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Daniel Borges Joins Senior Management Team at TW

The Tuscarora Wayne Board of Directors is pleased to announce that Daniel J. Borges has joined their senior management team as vice president/chief information officer of the information technology department.

Mr. Borges began his information technology career attending the Pennsylvania College of Technology in Williamsport, Pennsylvania, and he engaged in leadership training at the Center for Creative Leadership in Greensboro, NC.

Prior to joining the company, Mr. Borges was employed by LexisNexis Insurance Software in Hartford, CT. He was also employed by Mercer Insurance Group in Lock Haven, PA as vice president/information systems. His experience includes developing and deploying network infrastructure and software systems to support an insurance company; building a 19-member information technology department; and performing systems and business analysis to develop insurance software used by over 70 insurance companies throughout the United States.

His new responsibilities with Tuscarora Wayne will include developing and executing technology for the group of companies.

Dan resides in Lock Haven, Pennsylvania, and plans to relocate to the Wyalusing area. A family man, he enjoys life with his wife, Julie, and their five children-Kayla, Caroline, Gillian, Lindsay, and Mitchell.

Tuscarora Wayne Group of Companies, located in Wyalusing, PA, specializes in underwriting and distributing property and casualty insurance in Pennsylvania and Ohio. The Group of Companies includes Tuscarora Wayne Mutual Group, Inc., Susquehanna Capital Corp., Tuscarora Wayne Insurance Company, Keystone National Insurance Company, and Lebanon Valley Insurance Company.

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POLICYHOLDERS OF LEBANON MUTUAL INSURANCE COMPANY APPROVE PLAN TO CONVERT INTO A MUTUAL HOLDING COMPANY STRUCTURE

Lebanon Mutual Insurance Company announces that effective January 3, 2011, the Company will reorganize into a mutual holding company structure, simultaneously changing its name to Lebanon Valley Insurance Company. Susquehanna Capital Corp., a stock holding company, will be the intermediate parent of the Company, and Tuscarora Wayne Mutual Group, Inc., a mutual holding company, will be the ultimate parent of the Company. The reorganization will enhance the Company's strategic and financial flexibility by enabling it to access capital markets that are presently unavailable to it as a mutual insurance company, including the potential sale of a portion of the capital stock of Susquehanna Capital Corp. In such a transaction, Tuscarora Wayne Mutual Group, Inc. will retain direct or indirect ownership and control of a majority of the outstanding voting shares of Susquehanna Capital Corp. However, there are no definitive plans or arrangements to enter the capital markets.

The plan of reorganization was adopted by the Board of Directors on April 22, 2010, and approved by the Pennsylvania Insurance Department on August 25, 2010. Department approval, however, does not constitute a recommendation or endorsement of the plan. At a special meeting held on November 17, 2010, the plan was approved by the policyholders.

The reorganization of the Company into a mutual holding company structure will not cause any change in the insurance coverage provided under the Company's policies or the premiums paid by its policyholders. Each policyholder of the Company will receive a membership in Tuscarora Wayne Mutual Group, Inc., which will remain in effect as long as the policyholder has an active insurance policy with the Company.

Incorporated in 1856, Lebanon Mutual Insurance Company is rated B++ (Good), Financial Size Category V, by A.M. Best Company, Inc., the leading provider of ratings, news, and financial data for the insurance industry worldwide.

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LEBANON MUTUAL INSURANCE COMPANY UNVEILS MUTUAL HOLDING COMPANY CONVERSION PLAN

Lebanon Mutual Insurance Company (the "Company") plans to reorganize into a mutual holding company structure. The Company is currently organized as a mutual insurance company. The mutual holding company structure creates the flexibility to access the capital markets in the future, which will facilitate growth important to remaining competitive. While there are no plans for an initial public offering, the reorganization will allow for the sale of stock in the future.

The reorganization plan has been filed with the Commonwealth of Pennsylvania Insurance Department for approval. The plan calls for the conversion of the Company from a mutual to a stock form of organization. Upon completion of the reorganization, Lebanon Mutual will be renamed LMI Insurance Company and will become a wholly- owned subsidiary of Tuscarora Wayne Group, Inc., which is a majority owned subsidiary of Tuscarora Wayne Mutual Group, Inc., a mutual holding company. Under the plan, the mutual holding company must maintain majority control of the operating insurance company. Policyholders of Lebanon Mutual, who are also members of Lebanon Mutual, will become members of Tuscarora Wayne Mutual Group, Inc. The proposed reorganization will not cause any change in the policyholders' insurance coverage or the premiums.

Incorporated in 1856, Lebanon Mutual is a property and casualty insurance company licensed in the Commonwealth of Pennsylvania. The Company is rated B++ (Good), Financial Size Category V, by A.M. Best Company, Inc, the leading provider of ratings, news, and financial data for the insurance industry worldwide.

The Company needs approval from the Commonwealth of Pennsylvania Insurance Department and its policyholders. Policyholders will receive notices regarding the reorganization and the upcoming special meeting of policyholders to approve the reorganization.

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Tuscarora Wayne Insurance Company (TW) today announced the completion of its acquisition of Lebanon Mutual Insurance Company (LMI). The transaction was approved by the Commonwealth of Pennsylvania Insurance Department on March 22, 2010. As a result of the acquisition, the entire TW Board of Directors was elected to the LMI Board of Directors, and Messrs. S. Bruce Kurtz, Rollin Rissinger, Jr., and Milton Garrison will continue as LMI Directors.

LMI, located Cleona, Pennsylvania, is a mutual property and casualty insurance company domiciled in the Commonwealth of Pennsylvania. The Company is rated B++ (Good), Financial Size Category V, by A.M. Best Company, the leading provider of ratings, news, and financial data for the insurance industry worldwide. LMI ended 2009 with $11.6 million in direct written premium and $9.3 million in statutory policyholder surplus.

TW, located Wyalusing, Pennsylvania, is a stock property and casualty insurance company licensed in the Commonwealth of Pennsylvania and Ohio. TW is rated A+ (Superior), Financial Size Category, VI. TW ended 2009 with $25.6 million in direct written premium and $36.6 million in capital and statutory surplus. For more information, please visit www.twmic.com.

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