(1) The Company leases an additional 6,400 square feet of the facility to unrelated third parties for approximately $98,000 per year, under leases which expire at various dates after 1999.
(1) Only includes Evergreen Memorial Park for the first eleven months of 1995 and the assets and liabilities of Civil Service Employees Life Insurance Company as of December 31, 1995.
Total revenues increased by $6,282,000, or 19.1%, from $32,820,000 for fiscal year 1998 to $39,102,000 for fiscal year 1999. Insurance premiums and other considerations increased by $359,000, net investment income increased by $234,000, net mortuary and cemetery sales increased by $952,000, mortgage fee income increased by $4,421,000, and realized gains on investments and other assets increased by $239,000.
The Company's total capitalization of stockholders' equity and bank debt and notes payable was $41,144,000 and $41,989,000 as of December 31, 1999 and 1998, respectively. Stockholders' equity as a percent of total capitalization was 64% as of December 31, 1999 and 1998.
On December 17, 1998, the Company completed the acquisition of Consolidare Enterprises, Inc., a Florida corporation ("Consolidare") pursuant to the terms of the Acquisition Agreement which the Company entered into on April 17, 1998 with Consolidare and certain shareholders of Consolidare for the purchase of all of the
December 31, ------------ 1999 1998 ---- ---- Bank prime rate plus 1/2% (9.0% at December 31, 1999) note payable in monthly installments of $36,420 including principal and interest, collateralized by 15,000 shares of Security National Life stock, due December 2004. $1,697,397 $1,974,898
Bank prime rate less 1.35% (7.15% at December 31, 1999) note payable in monthly installments of $2,736 including principal and interest, collateralized by 15,000 shares of Security National Life Insurance Company stock, due December 2005. 199,461 216,117
National Life 1,357,200 1,323,164 Time certificate of deposit 33,696 33,696 ----------- ----------- Total $ 4,258,987 $ 4,098,877 =========== ===========
As part of the acquisition of Southern Security, the Company has a co-insurance agreement with The Mega Life and Health Insurance Company ("MEGA"). On December 31, 1992 Southern Security ceded to MEGA 18% of all universal life policies in force at that date. MEGA is entitled to 18% of all future premiums, claims, policyholder loans and surrenders relating to the ceded policies. In addition, Southern Security receives certain commission and expense reimbursements. The funds held related to reinsurance treaties of $1,475,512 and policyholders' account balances on deposit with reinsurer of $7,806,866 represent the 18% share of policy loans and policyholder account balances ceded to MEGA as of December 31, 1999.
The following table summarizes the activity in shares of capital stock for the three year period ended December 31, 1999:
Stock Dividends 206,344 247,329 Conversion of Class C to Class A 1,359 (13,590) Stock Issued 8,176 -- ---------- ----------
In 1998, the NAIC adopted codified statutory accounting principles ("Codification"). Codification will likely change, to some extent, prescribed statutory accounting practices and may result in changes to the accounting practices that the Company uses to prepare its statutory- basis financial statements. Codification will require adoption by the various states before it becomes the
Receivables: Receivable from affiliates 1,629,966 1,579,965 Other 18,566 76,368 ----------- ----------- Total receivables 1,648,532 1,656,333
Stockholders' equity: - --------------------- Common Stock: Class A: $2 par value, authorized 10,000,000 shares, issued 4,863,731 shares in 1999 and 4,617,330 shares in 1998 9,727,462 9,234,660 Class C: $0.20 par value, authorized 7,500,000 shares, issued 5,555,350 shares in 1999 and 5,446,595 shares in 1998 1,111,070 1,089,319 ------------ ------------ Total common stock 10,838,532 10,323,979