Mercury General Corporation Announces Third Quarter EPS of $1.77

Mercury General Corporation MCY reported today for the third quarter of 2010: Net income in the third quarter 2010 was $96.8 million ($1.77 per diluted share) compared with net income of $157.7 million ($2.85 per diluted share) for the same period in 2009. For the nine months of 2010, net income was $175.8 million ($3.21 per diluted share) compared with net income of $368.8 million ($6.70 per diluted share) for the same period in 2009. Included in net income are net realized investment gains, net of tax, of $56.2 million ($1.03 per diluted share) in the third quarter of 2010 compared with net realized investment gains, net of tax, of $111.4 million ($2.01 per diluted share) for the same period in 2009, and net realized investment gains, net of tax, of $52.5 million ($0.96 per diluted share) for the nine months of 2010 compared with net realized investment gains, net of tax, of $229.2 million ($4.16 per diluted share) for the same period in 2009. Operating income was $40.7 million ($0.74 per diluted share) for the third quarter of 2010 compared with operating income of $46.3 million ($0.84 per diluted share) for the same period in 2009. For the nine months of 2010, operating income was $123.3 million ($2.25 per diluted share) compared with operating income of $139.7 million ($2.54 per diluted share) for the same period in 2009.