USIH Usi Hldgs Corp (MM)

USI Holdings Corporation (NASDAQ: USIH) today announced the acquisition of Needham, MA-based, Frederick E. Penn Insurance Agency, Inc. ("Penn"). The acquisition is expected to contribute approximately $9 million in revenue to USI on an annual basis. Terms of the transaction were not disclosed. Frederick E. Penn Insurance Agency, Inc. was founded in 1949 and is one of the leading independent property & casualty insurance agencies in the Boston area. Commenting on the acquisition, David L. Eslick, Chairman, President & CEO, USI Holdings Corporation, said, "The addition of Penn enhances our offerings and reaffirms our commitment to our long-term goals of cross-selling, client retention and diversification of revenues. The Penn team adds significant resources to our current capabilities in the New England region. I am pleased to welcome Jonathan, Richard and their team to the USI Family." Jonathan B. Penn, President, Frederick E. Penn Insurance Agency, Inc. said, "Since 1949, we have been helping our clients manage risk and purchase insurance with some of the highest levels of service and expertise in the industry. By joining USI, we are pleased to be able to maintain this unprecedented level of customer service while increasing our product offerings." Mark J. Smith, CEO, USI New England, added, "The completion of this transaction demonstrates USI New England's proven ability to deliver the USI strategy of growth organically and through acquisitions. I am pleased to increase our depth of expertise in property & casualty and look forward to working with Jonathan and Richard to serve our clients and achieve our goals." Richard H. Penn, CEO, Frederick E. Penn Insurance Agency, Inc. commented, "We are pleased to join USI and know that we can continue to guarantee our clients personalized service by committed and caring professionals. We look forward to working with Mark and the rest of the highly respected USI New England team." This press release contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by words such as "expects," "anticipates," "intends," "plans," "believes," "seeks," "estimates," "will" or words of similar meaning and include, but are not limited to, statements about the expected future business and financial and operating performance of USI resulting from and following the acquisition. These statements are based on management's current expectations and are inherently subject to uncertainties and changes in circumstances. Detailed information about the factors that could cause actual results to differ materially from those described in the forward-looking statements is contained in USI's filings with the SEC. Some of those factors include matters analyzed in the due diligence process, material adverse changes in the clients of the acquired company, and substantial delay in the expected closing of the transaction. All forward-looking statements included in this press release are made only as of the date of this press release, and USI does not undertake any obligation to publicly update or correct any forward-looking statements to reflect events or circumstances that subsequently occur or of which USI hereafter becomes aware. About USI Holdings Corporation Founded in 1994, USI is a leading distributor of insurance and financial products and services to businesses throughout the United States. USI is headquartered in Briarcliff Manor, NY, and operates out of 68 offices in 18 states. Additional information about USI may be found at www.usi.biz.