B&B Makes Management Moves, Acquisitions

By Mark E. Ruquet

NU Online News Service, Nov. 15, 3:22 p.m. EST?Insurance broker Brown & Brown announced a series of promotions and managerial realignments the firm said were aimed at evenly distributing managerial responsibility as the firm expands.

Jim Henderson, an executive vice president of the firm, was named president and chief operating officer. J. Hyatt Brown, gives up the title of president, but still remains chairman and chief executive officer of the Daytona, Fla., based firm.

Mr. Brown said in a statement that the promotion of Mr. Henderson would divide over-all operational responsibility between the two as the firm continues to grow its revenue to become a billion dollar firm.

The company also announced it has increased its operational regions to eight from six, said Doug Hudson, director of communication. The position of COO is new to the firm, he added.

Linda Downs, regional executive vice president, will see her responsibilities expanded to include overseeing operations in Georgia, Missouri, South Carolina, Tennessee and Virginia, as well as the National Professional Programs and National Commercial Programs divisions based in Tampa, Fla.

Charlie Lydecker and J. Powell Brown were named regional executive vice presidents and will see their responsibilities expanded to other offices and functions within the firm.

The broker also announced its intent to acquire MFC&V Insurance Services, with offices in Santa Barbara, Lompoc and Camarillo, Calif. The agency, with revenues of approximately $12 million, provides commercial property-casualty, life and group health benefit insurance to California customers.

The broker said the agency would continue to serve clients from its current location as a freestanding Brown operation.

Brown & Brown announced it has completed the acquisition of Chartered Financial Services Corp., the holding company for Cal-Surance Associates, Inc., United Network of Insurance Services, Inc., Sterling Reinsurance Intermediaries, Inc., and Lancer Claims Services, Inc., all headquartered in Orange, Calif.

The purchase of the four companies, with combined annual revenues of $27 million, was for $64 million and the assumption of $514,760 in liabilities. The four companies will continue to operate at their existing locations as free standing Brown & Brown operations.

Under SEC rules, acquisitions of more than $50 million must be disclosed. Terms for MFC&V were not disclosed. The size of that purchase is substantially less than Chartered Financial, Mr. Hudson said.

Last week, the firm announced it has been added to Standard & Poor's MidCap 400 index. The index is representative of 400 mid-size domestic companies the New York City based rating agency chooses for representation.

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B&B Makes Management Moves, Acquisitions

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