Declarations

Can’t Figure

“I can’t figure out what amount (Blunt) is convicted of.”

—District Judge Bruce Romanick in ordering Sandy Blunt, the former director of North Dakota’s Workforce Safety and Insurance agency, to perform 1,000 hours of community service and pay $2,000 in fines. The judge gave Blunt a two-year deferred sentence with no jail time, noting there was no evidence Blunt used any agency money to line his own pockets. A Bismarck jury last December found Blunt guilty of misspending agency funds on unauthorized expenses and illegal gifts.

Cattle Cash

“Given the economic times, compared to some other crimes, this is fairly lucrative. You’re looking at animals that are worth hundreds of dollars, and it’s pretty quick cash.”

—Jeff Windett, Missouri Cattlemen’s Association, talking about the rash of cattle thefts in southwest Missouri that has prompted his organization and the Missouri Farm Bureau to each offer $5,000 in rewards for help catching the crooks. Hundreds of animals have been loaded onto trucks and driven away to be sold in stockyards in nearby states, where sellers need to provide only a name.

Spring Flood

“I think there’s a pretty significant risk of a spring flood and just how bad that’s going to be will be played out, but I think there’s a pretty significant risk.”

—Steve Buan, lead forecaster for the National Weather Service Center in Chanhassen, Minn., who said he expects a Red River crest in Fargo in the mid-30 foot range. Flood stage is 18 feet. Fargo officials have said they would have to build a dike to protect City Hall if the river gets to 31 feet.

Hungry Gecko

“As we view GEICO’s current opportunities, Tony (Nicely) and I feel like two hungry mosquitoes in a nudist camp. Juicy targets are everywhere.”

—Berkshire Hathaway Inc.’s Warren Buffett speaking of GEICO’s CEO Nicely in his annual letter. Buffett discusses how his insurance and investment company barely broke even in the fourth quarter because of losses on derivatives contracts tied to the stock market.

D&O Trends

“If the emerging executive liability insurance pricing trends continue, we can expect D&O rates to rise for other [non-financial] industries, especially if we see a reduction in insurer capacity due to consolidation or insolvency”.

—Lauri Floresca, senior managing director and author of the Carpenter Moore D&O Benchmarking Report, which shows that the D&O insurance market is clearly hardening for financial services companies. Floresca warned that the pricing may spill over into other D&O segments and that after several straight years of declining premiums, many companies may not be prepared for cost increases.

Topics Missouri