First American Spin-Off Clears Government Approval

May 25, 2010

The First American Corp. announced the satisfaction of the governmental conditions to the spin-off of its Financial Services businesses, which includes its core title insurance business. Those governmental conditions included the receipt of a private letter ruling from the Internal Revenue Service substantially to the effect that the distribution will qualify as a tax-free transaction for U.S. federal income tax purposes, the approval of the California Department of Insurance and the approval of the Office of Thrift Supervision.

Based on the satisfaction of these governmental conditions, which were the primary outstanding conditions to the distribution, the company is affirming the previously announced May 26, record date and June 1 distribution date.

On May 24, First American Financial Corp. commenced trading on a “when-issued” basis on the New York Stock Exchange under the ticker symbol “FAF-WI.” In addition on May 24, the company’s shares were expected to trade on an ex-distribution basis, representing a market for the remaining Information Solutions company, under the ticker symbol “CLGX-WI.” These markets will be in addition to the market for the combined company’s common shares, which will continue to trade on the New York Stock Exchange up through and including the June 1 distribution date under the ticker symbol “FAF.”


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

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. 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.