CONTACT:
Timothy A. Bienek
Executive Vice President
(972) 866-5708
DALLAS, Texas -- December 30, 2002 -- Hallmark Financial Services,
Inc. (Amex: HAF.EC) ("Hallmark") today announced that President and
Chief Executive Officer Linda H. Sleeper will leave the Company effective January
1, 2003. Hallmark's Board of Directors has elected Mark E. Schwarz, the Chairman
of the Board of Hallmark, to the additional position of Chief Executive Officer.
Also effective January 1, 2003, Timothy A. Bienek, currently Executive Vice
President, has been elected President and Chief Operating Officer of the Company.
Ms. Sleeper will be retained by the Company as a part-time consultant through
June of 2003 and will assist with the management transition. Ms. Sleeper also
plans to complete her current term on Hallmark's Board of Directors, which will
expire in conjunction with the Company's Annual Shareholder's Meeting in May
of 2003.
"The management change reflects my desire to assume a more active role
at Hallmark," said Mark E. Schwarz, Chairman of Hallmark Financial Services,
Inc. "I, as well as the entire Board of Directors, want to thank Linda
for her service and acknowledge the positive contribution that she has made
to the Company."
Mark E. Schwarz is the General Partner of Newcastle Partners, L.P. ("Newcastle")
which owns 47.8% of the outstanding common stock of Hallmark. In addition, Newcastle
provided bridge financing to Hallmark for the Company's recent acquisitions.
Hallmark Financial Services, Inc. is engaged primarily in underwriting, marketing
and financing non-standard automobile insurance in the State of Texas and in
marketing commercial lines insurance in Texas, New Mexico, Idaho, Oregon and
Washington. The Company is headquartered in Dallas, Texas and its common stock
is listed on the American Stock Exchange under the symbol "HAF.EC".
Forward-looking statements in this Release are made pursuant to the "safe
harbor" provisions of the Private Securities Litigation Act of 1995. Investors
are cautioned that actual results may differ substantially from such forward-looking
statements. Forward-looking statements involve risks and uncertainties including,
but not limited to, consummation of contemplated transactions, continued acceptance
of the Company's products and services in the marketplace, competitive factors,
interest rate trends, the availability of financing, underwriting loss experience
and other risks detailed from time to time in the Company's periodic report
filings with the Securities and Exchange Commission.
For further information, please contact:
Timothy A. Bienek, Executive Vice President at (972) 866-5708
www.hallmarkgrp.com
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