Dorothy Timian-Palmer
President and Chief Executive Officer
PICO Holdings, Inc.

PICO Holdings, Inc. (Nasdaq: PICO) announced today that its subsidiary, Aquifer Science, LLC has received a ruling from the New Mexico Second Judicial District Court denying its De Novo appeal of the New Mexico State Engineer’s denial of Application S-2618 for 350 acre-feet of groundwater rights for the Campbell Ranch development project in Bernalillo County, New Mexico.

The Company is reviewing the ruling and its future options and evaluating whether to appeal the Court’s decision to deny the Company’s Application for groundwater rights.

About PICO Holdings

As of December 31, 2018 our major investment is Vidler Water Company, Inc., a water resource and water storage business with assets and operations primarily in the Southwestern U.S.

Currently, we believe the highest potential return to shareholders is from a return of capital to shareholders. As we monetize assets, rather than reinvest the proceeds, we intend to return the capital derived therefrom, less any working capital requirements, back to shareholders through a stock repurchase program or by other means such as special dividends taking into effect liquidity requirements, debt covenants and any other contractual and legal restrictions that may exist at the time.