Investors Title Company Announces Annual Earnings

February 11, 2005

CHAPEL HILL, N.C. -- Investors Title Company (NASDAQ:ITIC) announced results for the quarter and year ended December 31, 2004. For the quarter ended December 31, 2004, net income increased 17% to $2,689,303 from $2,305,202, and diluted earnings per share increased 17% to $1.03 from $.88, all compared with the same quarter in the prior year. Net premiums written decreased 4% to $16,809,190 and total revenues remained virtually flat at $19,239,796.

For the year ended December 31, 2004, net income decreased 2% to $10,719,166 or $4.09 per diluted share versus net income of $10,965,014 or $4.18 per diluted share in the prior year. Net premiums written decreased 14% to $71,775,157 and total revenues decreased 12% to $79,841,176.

J. Allen Fine, Chairman and CEO added: "Despite the decline in premiums written, we are pleased with the financial results achieved in 2004. For the year, mortgage lending held up relatively well, even though mortgage refinancing subsided. According to the latest data published by the Mortgage Bankers Association, mortgage refinancing volume declined by half but mortgage lending for purchase transactions actually increased approximately 24% over the previous year. Net income in the quarter was augmented by continued strong growth in our exchange subsidiary, and a decrease in our tax provision due primarily to an increase in tax exempt income and a reduction in our overall effective tax rate."

Source: Investors Title Company


Contact ALTA at 202-296-3671 or communications@alta.org.

North American Title Insurance Company (NATIC) is a seasoned title insurance underwriter, helping title agents to achieve their individual business goals for more than 50 years. Today, the company conducts real estate settlement services in 39 states and the District of Columbia through a network of experienced, independent agents. SoftPro is the nation's leading provider of closing and title software, consistently pushing the technological envelope to pioneer the most powerful and comprehensive closing and title automation software on the market. SoftPro's Award-Winning Software combines cutting-edge technology with outstanding support to make your business more productive, efficient and boost your revenue.