Wyncrest Group's Subsidiary Southwest Financial Group Signs New Contract With American General Life for Additional $0.5 Million
November 09 2009 - 5:15PM
PR Newswire (US)
CHICAGO, Nov. 9 /PRNewswire-FirstCall/ -- The Wyncrest Group (Pink
Sheets: WNCG), a leader in niche insurance and financial products
and services, is pleased to announce its subsidiary Southwest
Financial Group, has recently signed a new agreement with American
General Life Companies. Wyncrest's wholly owned subsidiary,
Southwest Financial Group finalized the commitment in October 2009,
to direct $0.5 million in life insurance premiums to American
General Life over the next twelve months. This is expected to
increase sales revenue for Southwest Financial Group by an
additional $700,000. Wholly owned Southwest Financial Group has
been in business for 21 years, has 22,000 clients, and sells
through 250 representatives nationwide. During 2008, approximately
$22 million in total insurance policy sales were generated
resulting in $1.1 million of commission revenues. With over 4,000
employees and offices and service centers across the country,
American General is one of the largest insurance providers in North
America. Chris Zaal, President of Southwest Financial Group
commented that, "We are excited to step up and deliver a firm
commitment to American General. This is reflective of the strong
relationship we have built during the previous three years, and
rewards shareholder value for both of our companies." WNCG plans to
continue to grow Southwest Financial Group through discounted
acquisitions of competing agencies and applying its IT advantage
with a U.S. patent pending automated business method for managing
the acquired client books to improve policy renewal retention and
up-selling. The company expects that this strategy will reduce cost
of sales by half compared to traditional origination methods. About
The Wyncrest Group, Inc. (WNCG.PK) The Wyncrest Group, Inc. is a
publicly traded company based in Chicago, Illinois, which provides
insurance products and services through its Southwest Financial
Group subsidiary. WNCG is also in negotiations with several
acquisition targets developed over an ongoing two-year campaign to
find distressed agencies and consolidate contract assets under one
lower cost platform. Royalty income is expected from licensing
insurance products patented under a new category of business
methods, a strategy taken only by a few in a new class of small
innovative insurance companies leading the industry. Contact:
Investor Relations +1-630-215-5171 The Wyncrest Group, Inc. 9654
West 131st Street, Suite 215 Palos Park, IL 60464
http://www.wyncrestgroupinc.com/ This Press Release may contain
certain forward-looking statements within the meaning of the
Private Securities Litigation Reform Act of 1995. WNCG has tried,
whenever possible, to identify these forward-looking statements
using words such as "anticipates", "believes", "estimates",
"expects", "plans", "intends", "potential" and similar expressions.
These statements reflect WNCG's current beliefs and are based upon
information currently available to it. Accordingly, such forward
looking statements involve known and unknown risks, uncertainties
and other factors which could cause WNCG's actual results,
performance or achievements to differ materially from those
expressed in or implied by such statements. WNCG undertakes no
obligation to update or advise in the event of any change, addition
or alteration to the information catered in this Press Release
including such forward-looking statements. DATASOURCE: The Wyncrest
Group CONTACT: Investor Relations of The Wyncrest Group,
+1-630-215-5171, Web Site: http://www.wyncrestgroupinc.com/
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