Twentieth Century Nears Break-Even After Huge Loss

Twentieth Century Industries, a Woodland Hills-based insurance company, reported a sharply narrowed loss and slightly lower revenue in the first quarter that ended March 31.

The company posted a loss of $1.4 million for the first quarter, compared to a $340 million loss for the same three-month period a year earlier. First-quarter revenue totaled $270 million, down 7% from $291 million a year earlier.

William L. Mellick, chief executive of Twentieth Century, said “storm losses took a heavy toll in the quarter,” but the company “has now returned to normal operations following the Northridge earthquake.”

Mellick said that by the end of the first quarter, 5,823 property claims had been filed as a result of severe winter storms in California, with losses totaling $14.2 million on a pretax basis.

A total of 35,856 homeowner and condominium claims, as well as 10,193 automobile claims, had been filed as a result of the Northridge quake, the company said. Paid losses and expenses related to the quake have reached $847 million.

Twentieth Century also reported that it acquired $30 million in capital during the first quarter, including $20 million from the issuance of additional preferred stock to American International Group Inc., and $10 million through added bank debt.