• Filing Date: 2012-03-30
  • Form Type: 10-K
  • Description: Annual report
v2.4.0.6
Condensed Financial Information Of Homeowners Choice, Inc.
12 Months Ended
Dec. 31, 2011
Condensed Financial Information Of Homeowners Choice, Inc. [Abstract]  
Condensed Financial Information Of Homeowners Choice, Inc.

Note 17 -- Condensed Financial Information of Homeowners Choice, Inc.

Condensed financial information of Homeowners Choice, Inc. is as follows (in thousands):

Balance Sheets

 

                 
   

At December 31,

 
   

2011

    

2010

 

Assets

                
     

Cash and cash equivalents

  $ 1         416   

Short-term investments

    --         2,074   

Investment in subsidiaries

    88,421         60,366   

Property and equipment, net

    950         214   

Deferred income taxes

    348         265   

Other assets

      1,428              374   
     

Total assets

  $ 91,148         63,709   
     

Liabilities and Stockholders' Equity

                
     

Accrued expenses and other liabilities

    1,778         290   

Income taxes payable

    1,605         3,562   

Dividends payable

    218         --   

Due to related parties

    23,717         13,228   
     

Total liabilities

    27,318         17,080   
     

Total stockholders' equity

    63,830         46,629   
     

Total liabilities and stockholders' equity

  $ 91,148         63,709   

 

Statements of Earnings

 

                 
    

Year Ended December 31,

 
     
    

2011

   

2010

 
     

Net investment income

     $     75        80   

Other income

     66        45   

Other operating expenses

     (2,428     (1,427

Loss before income tax benefit and equity in earnings of subsidiaries

     (2,287     (1,302

Income tax benefit

         846          485   

Net loss before equity in earnings of subsidiaries

     (1,441     (817

Equity in earnings of subsidiaries

     11,405        6,239   
     

Net income

     $9,964        5,422   

 

Statements of Cash Flows

 

                 
    

Year Ended December 31,

 
    

2011

   

2010

 

Cash flows from operating activities:

                

Net income

     $9,964        5,422   

Adjustments to reconcile net income  to net cash provided by operating activities:

                

Stock-based compensation

     27        87   

Depreciation and amortization

     214        84   

Equity in earnings of subsidiaries

     (11,405     (6,239

Deferred income taxes

     (83     136   

Increase in other assets

     (348     (226

Increase in accrued expenses and other liabilities

     1,488        38   

Decrease in income taxes receivable

     --        674   

(Decrease) increase in income taxes payable

     (1,957     3,562   

Increase in due to related parties

     10,489        6,267   

Net cash provided by operating activities

     8,389        9,805   

Cash flows from investing activities:

                

Purchase of short-term investments

     --        (80

Redemption of short-term investments

     2,074        --   

Purchase of property and equipment, net

     (900     (44

Dividends received from subsidiary

     --        4,800   

Investment in subsidiaries

     (16,400     (9,889

Net cash used in investing activities

     (15,226     (5,213

Cash flows from financing activities:

                

Repurchases of common stock

     (1,887     (3,596

Dividends paid to stockholders

     (3,826     (1,877

Proceeds from the exercise of stock options

     563        650   

Proceeds from the sale of preferred stock,net of costs

     11,307        --   

Excess tax benefit from stock options exercised

        265           301   

Net cash provided by (used in) financing activities

     6,422        (4,522

Net (decrease) increase in cash and cash equivalents

     (415     70   

Cash and cash equivalents at beginning of year

        416           346   

Cash and cash equivalents at end of year

     $       1           416