Reliance Group Concludes Unicover Settlements

Reliance Group Holdings, Inc. (NYSE: REL) announced that it has completed previously announced settlements to resolve issues relating to a workers' compensation insurance program created and managed by Unicover Managers, Inc.

As reported January 7, Reliance Group expects to take an after-tax charge for these settlements of approximately $100 million, to be reflected in its fourth quarter 1999 financial statements.

Separately, Reliance announced that it has filed a lawsuit against Unicover Managers, Inc. seeking substantial damages for fraud, misrepresentation, multiple breaches of fiduciary duty and misconduct.

Reliance Group Holdings, Inc., headquartered in New York City, has major property and casualty insurance operations and an information technology consulting company. The company's total 1998 revenues were $3.4 billion, and assets at year-end were $12.8 billion

Information provided by: Reliance National Insurance Co.