United Fire Announces Signing of Agreement and Plan of Reorganization and Filing of Registration Statement

United Fire & Casualty Company UFCS announced today that it has entered into an agreement and plan of reorganization with United Fire Group, a newly-formed wholly owned subsidiary of United Fire, and UFC MergeCo, a newly-formed wholly owned subsidiary of United Fire Group. A registration statement on Form S-4 has been filed with the U.S. Securities and Exchange Commission for United Fire's proposed reorganization. Pursuant to the agreement and plan of reorganization, United Fire will merge into and with MergeCo, with MergeCo as the surviving company. In the reorganization, United Fire would become the subsidiary of United Fire Group, and United Fire shareholders would become shareholders of United Fire Group, a new Iowa holding company. At the effective time of the reorganization, each outstanding share of United Fire common stock will be automatically converted into one share of United Fire Group common stock. Shareholders of United Fire common stock would hold the same number of shares and the same ownership percentage after the reorganization as they held immediately prior to the reorganization. The reorganization generally would be tax-free for United Fire shareholders.