Segment Information

3 Months Ended

Mar. 31, 2012

Segment Information [Abstract]

Segment Information

Note 16 – Segment Information

The Company consists of the following reportable segments and a corporate function:

• The Company's title insurance and services segment issues title insurance policies on residential and commercial property in the United States and offers similar products and services internationally. This segment also provides escrow and closing services; accommodates tax-deferred exchanges of real estate; maintains, manages and provides access to title plant records and images and provides banking, trust and investment advisory services. The Company, through its principal title insurance subsidiary and such subsidiary's affiliates, transacts its title insurance business through a network of direct operations and agents. Through this network, the Company issues policies in the 49 states that permit the issuance of title insurance policies and the District of Columbia. The Company also offers title insurance and other insurance and guarantee products, as well as related settlement services, either directly or through joint ventures in foreign countries, including Canada, the United Kingdom and various other established and emerging markets.

• The Company's specialty insurance segment issues property and casualty insurance policies and sells home warranty products. The property and casualty insurance business provides insurance coverage to residential homeowners and renters for liability losses and typical hazards such as fire, theft, vandalism and other types of property damage. This business is licensed to issue policies in all 50 states and actively issues policies in 43 states. In its largest market, California, it also offers preferred risk auto insurance to better compete with other carriers offering bundled home and auto insurance. The home warranty business provides residential service contracts that cover residential systems and appliances against failures that occur as the result of normal usage during the coverage period. This business currently operates in 39 states and the District of Columbia.

The corporate division consists of certain financing facilities as well as the corporate services that support the Company's business operations. Eliminations consist of inter-segment revenues and related expenses included in the results of the operating segments.

During the first quarter of 2012, the Company changed the allocation of certain expenses within its reportable segments and corporate division to reflect the performance of the Company's reportable segments as reported to the chief operating decision maker. The expenses that were impacted as a result of the change in allocation include shared services expenses, benefit plan expense and interest expense. Prior period segment data has been reclassified to conform to the current presentation. For the three months ended March 31, 2011, income before income taxes for the Company's reportable segments were impacted as follows: increase of $2.9 million to the title insurance and services segment, increase of $0.2 million to the specialty insurance segment, and decrease of $3.1 million to the corporate division.

Selected financial information by reporting segment is as follows

For the three months ended March 31, 2012:

(in thousands)	Revenues			Income (loss) before income taxes			Depreciation and amortization		Capital expenditures
Title Insurance and Services	$	891,221		$	60,822		$	16,333	$	17,594
Specialty Insurance		74,198			12,824			1,055		578
Corporate		2,248			(22,096	)		671		—
Eliminations		(904	)		—			—		—
	$	966,763		$	51,550		$	18,059	$	18,172

For the three months ended March 31, 2011:

(in thousands)	Revenues			Income (loss) before income taxes			Depreciation and amortization		Capital expenditures
Title Insurance and Services	$	861,924		$	(15,696	)	$	17,171	$	12,169
Specialty Insurance		68,831			12,414			1,016		411
Corporate		1,579			(20,552	)		912		24
Eliminations		(634	)		385			—		—
	$	931,700		$	(23,449	)	$	19,099	$	12,604

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