Torchmark Bids for American General HOUSTON - American General
Corp. said Wednesday it received an unsolicited $6.34 billion cash
and stock buyout offer from another insurance and financial services
firm, Torchmark Corp.
The Birmingham, Ala.-based Torchmark offered to buy about half
of American General's 126.7 million outstanding shares of common
stock for $50 per share, and would exchange $50 worth of Torchmark
common stock for each of the remaining shares.
Torchmark said all aspects of the offer were negotiable,
including the possibility of an all-cash deal.
American General, a Houston-based company with subsidiaries in
50 states and Canada, was non-committal, saying it was examining the
proposal. The bid would be discussed at the board's next regular
meeting May 2, Harold S. Hook, American General's chairman and chief
executive officer, said in a statement.
Wall Street reacted positively to the news. American General's
stock was up $8 to $40 a share in late afternoon trading on the New
York Stock Exchange.
Torchmark, meanwhile, was off $1.50 to $46.50 a share.
At the end of 1989, American General's total assets were $32.1
billion and common shareholders' equity was $4.1 billion.
Torchmark reported total assets at Dec. 31 of $4.9 billion and
common shareholders' equity of $795 million. At Dec. 31, it had
52.9 million shares outstanding.
Thomson McKinnon Unit Files for Chapter 11 NEW YORK - Thomson
McKinnon Inc.'s brokerage unit filed for Chapter 11 bankruptcy court
protection Wednesday to wind up its liquidation eight months after
selling most of its operations.
The filing in U.S. Bankruptcy Court freezes pending legal action
against the collapsed Wall Street firm and places other contentious
issues in liquidating the firm under the auspices of a federal
Thomson McKinnon Securities Inc. listed $89 million in assets
and $139 million in liabilities in its U.S. Bankruptcy Court filing
that seeks protection from creditors. The firm said the filing was
Thomson McKinnon, a 105-year-old firm that had been seeking a
buyer since the 1987 stock market crash, last July sold its retail
brokerage offices and customer accounts to Prudential-Bache
Securities Corp. for about $60 million.
That deal followed the collapse of a proposed merger of the two
firms that would have created one of the largest firms on Wall
Street. Thomson had been the nation's ninth largest brokerage.
Thomson McKinnon stopped doing business in July. Since then it
has sold its seats on the nation's stock and commodity exchanges but
still needs to liquidate part of its securities portfolio and other
4 European Airlines Buying 239 New Planes PARIS - Four European
airlines have joined forces to cut costs, planning to buy 239 new
planes together and inviting two aircraft manufacturers to submit