Exhibit 99.1

CASE NAME: Acceptance Insurance Companies Inc.

CASE NO: 05-80059

Form OPR-1A

COMPARATIVE BALANCE SHEET

ASSETS

	8/31/09		9/30/09		10/31/09		11/30/09		12/31/09		1/31/10
CURRENT ASSETS:
Cash (Attach Recons. & Bk Stmts.)	1,621		5,431		4,422		140		2,715		1,798
Investment securities, at market	342,524		321,073		263,633		258,177		230,158		237,365
Prepaid expense & deposits	60,000		60,000		60,000		60,000		60,000		30,000
TOTAL CURRENT ASSETS	404,145		386,504		328,055		318,317		292,873		269,163
OTHER ASSETS:
Note receivable from AIC	20,000,000		20,000,000		20,000,000		20,000,000		20,000,000		20,000,000
Valuation allowance	(20,000,000	)	(20,000,000	)	(20,000,000	)	(20,000,000	)	(20,000,000	)	(20,000,000	)
Investment in AIC, at underlying book value	2,428,472		2,428,472		1,691,146		1,691,146		1,691,146		1,691,146
Contingent claims	21,500,000		0		0		0		0		0
TOTAL OTHER ASSETS	23,928,472		2,428,472		1,691,146		1,691,146		1,691,146		1,691,146
TOTAL ASSETS	24,332,617		2,814,976		2,019,201		2,009,463		1,984,019		1,960,309

I CERTIFY UNDER PENALTY OF PERJURY THAT THIS 5 PAGE OPERATING REPORT IS TRUE AND CORRECT.

Date Submitted     February 9, 2010         Signed     /s/ Gary N Thompson          Printed Name of Signatory    Gary N Thompson

Form OPR-1B

COMPARATIVE BALANCE SHEET

LIABILITIES AND STOCKHOLDERS EQUITY

	8/31/09		9/30/09		10/31/09		11/30/09		12/31/09		1/31/10
LIABILITIES:
Post-Petition debt (Sched. C)	27,921		28,111		11,340		14,418		32,285		20,563
Pre-Petition Debt:
Litigation claims	22,000,000		22,000,000		22,000,000		22,000,000		22,000,000		22,000,000
Unsecured liabilities	46,054		46,054		46,054		46,054		46,054		46,054
Unsecured debt	116,110,260		116,110,260		116,110,260		116,110,260		116,110,260		116,110,260
TOTAL LIABILITIES	138,184,235		138,184,425		138,167,654		138,170,732		138,188,599		138,176,877
SHAREHOLDERS EQUITY:
Preferred stock	0		0		0		0		0		0
Common stock	6,274,000		6,274,000		6,274,000		6,274,000		6,274,000		6,274,000
Paid-in capital	199,660,000		199,660,000		199,660,000		199,660,000		199,660,000		199,660,000
Treasury stock	(29,969,000	)	(29,969,000	)	(29,969,000	)	(29,969,000	)	(29,969,000	)	(29,969,000	)
Retained earnings:
As of filing date	(281,005,796	)	(281,005,796	)	(281,005,796	)	(281,005,796	)	(281,005,796	)	(281,005,796	)
After filing date	(8,810,822	)	(30,328,653	)	(31,107,657	)	(31,120,473	)	(31,163,784	)	(31,175,772	)
TOTAL SHAREHOLDERS EQUITY	(113,851,618	)	(135,369,449	)	(136,148,453	)	(136,161,269	)	(136,204,580	)	(136,216,568	)
TOTAL LIABILITIES AND SHAREHOLDER EQUITY	24,332,617		2,814,976		2,019,201		2,009,463		1,984,019		1,960,309

CASE NO: 05-80059

Form OPR-2

STATEMENT OF INCOME

	8/31/09		9/30/09		10/31/09		11/30/09		12/31/09		1/31/10
REVENUE:
Net investment income	565		550		560		545		331		209
Net realized gain	0		0		0		0		0		0
Other	0		0		0		0		0		0
OPERATING EXPENSES:
Salaries and benefits	(8,880	)	(8,695	)	(8,705	)	(8,703	)	(8,679	)	(4,498	)
Board fees and expenses	0		0		0		0		0		0
Financial advisor fees and expenses	0		0		0		0		0		0
Legal fees and expenses	(1,375	)	(950	)	(27,999	)	(1,075	)	(30,344	)	(5,006	)
Accounting fees and expenses	0		(3,268	)	(904	)	0		0		0
Actuarial services	0		0		0		0		0		0
Insurance	0		0		0		0		0		(525	)
Franchise taxes	0		0		0		0		0		0
Filing fees and expenses	(1,693	)	(4,175	)	(3,259	)	(2,251	)	(3,686	)	(1,027	)
Overhead expenses	(862	)	(787	)	(789	)	(759	)	(736	)	(789	)
Miscellaneous	(526	)	(507	)	(582	)	(573	)	(197	)	(351	)
NET OPERATING INCOME / LOSS	(12,771	)	(17,832	)	(41,678	)	(12,816	)	(43,311	)	(11,987	)
OTHER INCOME (EXPENSE):
Interest expense	0		0		0		0		0		0
Income tax refund	0		0		0		0		0		0
Write-off of contingent claim (note)	0		(21,500,000	)	0		0		0		0
Equity in operating earnings of AIC	940,478		0		(670,186	)	0		0		0
Equity in unrealized losses of securities of AIC	(6,239	)	0		(67,140	)	0		0		0
TOTAL OTHER INCOME (EXPENSE)	934,239		(21,500,000	)	(737,326	)	0		0		0
NET INCOME (LOSS)	921,468		(21,517,832	)	(779,004	)	(12,816	)	(43,311	)	(11,987	)

CASE NAME: Acceptance Insurance Companies Inc.

CASE NO: 05-80059

Form OPR-3

SOURCES AND USE OF CASH

	8/31/09		9/30/09		10/31/09		11/30/09		12/31/09		1/31/10
CASH DIFFERENCE:
Current ending cash balance	1,621		5,431		4,422		140		2,715		1,798
Less ending prior month balance	(5,674	)	(1,621	)	(5,431	)	(4,422	)	(140	)	(2,715	)
NET CASH INCREASE (DECREASE)	(4,053	)	3,810		(1,009	)	(4,282	)	2,575		(917	)
SOURCES OF CASH:
Net income (loss)	921,468		(21,517,832	)	(779,004	)	(12,816	)	(43,311	)	(11,987	)
Write-off of contingent claim	0		21,500,000		0		0		0		0
Equity in earnings and unrealized losses of AIC	(934,239	)	0		737,326		0		0		0
Decrease in:
Receivables	0		0		0		0		0		0
Marketable securities	8,443		21,452		57,441		5,456		28,020		0
Prepaid expenses & deposits	0		0		0		0		0		30,000
Increase in:
Post- petition debt	275		190		0		3,078		17,866		0
Pre-petition debt	0		0		0		0		0		0
TOTAL SOURCES OF CASH	(4,053	)	3,810		15,763		(4,282	)	2,575		18,013
USES OF CASH:
Increase in:
Receivables	0		0		0		0		0		0
Marketable securities	0		0		0		0		0		(7,208	)
Decrease in:
Post- petition debt	0		0		(16,772	)	0		0		(11,722	)
Pre-petition debt	0		0		0		0		0		0
TOTAL USES OF CASH	0		0		(16,772	)	0		0		(18,930	)
NET CASH INCREASE (DECREASE)	(4,053	)	3,810		(1,009	)	(4,282	)	2,575		(917	)

CASE NAME: Acceptance Insurance Companies Inc.

CASE NO: 05-80059

SCHEDULE C

SCHEDULE OF POST PETITION DEBT

	8/31/09	9/30/09	10/31/09	11/30/09	12/31/09	1/31/10
TRADE ACCOUNTS PAYABLE	27,921	28,111	11,340	14,418	32,285	20,563
PAYROLL AND PAYROLL TAXES	0	0	0	0	0	0
TAXES PAYABLE	0	0	0	0	0	0
TOTAL POST PETITION DEBT	27,921	28,111	11,340	14,418	32,285	20,563