Conversely, we believe that as a result of the previous decline in the insurance market, and to take advantage of current market improvements, some companies have eliminated program business or have significantly reduced the size of their program business in order to concentrate on their core businesses. Some of the companies that had been a significant presence in the program business have ceased operations. We believe that our emphasis on specialty program commercial property and casualty insurance business, and in particular the way we plan to structure our operations through relationships with our Partner Agents, will help fill this void in the marketplace for program business.

Employees

      Shortly after the completion of this offering, we expect to hire 10 to 20 full-time employees in the areas of program management, underwriting, claims adjusting, actuarial, financial and accounting services, systems management and administration. We have hired, effective upon the completion of this offering, a chief information officer who has 20 years of experience in programming, developing and managing software and hardware for various businesses. In addition, we have hired, effective upon the completion of this offering, a general counsel who has 10 years of experience in transactional corporate, real estate and securities law practice areas, who recently served as general counsel of a technology company specializing in the insurance industry. We also have hired, effective upon the completion of this offering, three program directors and expect to hire a fourth program director upon completion of this offering, each of whom has more than 20 years of property and casualty insurance industry experience.

      Michael J. Nejman has over 25 years of experience in the property/casualty insurance industry. Mr. Nejman was the Senior Financial Officer for CNA’s commercial middle market business unit. His responsibilities included providing direction to CNA’s Commercial Affiliation Marketing, or CAM, programs. Subsequently, Mr. Nejman had executive profit and loss responsibility for five niche market specialty business units.

      Daniel A. Cacchione has over 20 years of experience in the property/casualty insurance industry. Mr. Cacchione has considerable experience in developing and managing affinity group insurance business, primarily through CNA’s CAM Division, where he served as Senior Vice President.

      Diane Melton has 24 years of experience in the property/casualty insurance industry. Ms. Melton has considerable underwriting experience, including at Texas Mutual Insurance Company, where she served as director of underwriting. At Texas Mutual, Ms. Melton restructured underwriting discipline and was responsible for expense, premium and strategic planning and reinsurance for $680 million of workers’ compensation business.

      In addition, we expect to have approximately 40 employees of SSC involved in varying degrees in our business operations. As our business grows, we would add appropriate additional staff.

Facilities

      Currently we are working out of temporary office space in Dallas. We expect to locate to Chicago after the completion of this offering and we currently are identifying office space. We have chosen Chicago due to its central location, good transportation and readily available source of insurance professionals. Further, members of our senior management have worked or live in Chicago and, as a result, are familiar with the business environment of that city.

62