Fortis Health President and CEO Ben Cutler to Become EVP of Fortis, Inc. and Chairman of Fortis Health - Fortis Health SVP and CFO Don Hamm to Assume Role of President
NEW YORK, N.Y. and MILWAUKEE, WIS., August 19, 2002—Fortis, Inc. and Fortis Health today announced two key management appointments. Ben Cutler will step down from his position as President and Chief Executive Officer of Fortis Health to become Executive Vice President, Fortis, Inc. and Chairman of Fortis Health. Don Hamm, currently Senior Vice President and Chief Financial Officer of Fortis Health, will become President of Fortis Health.
In his new position at Fortis, Inc., the parent company of Milwaukee-based Fortis Health and the U.S. headquarters of Fortis, the international financial services provider, Mr. Cutler will be responsible for directing the company's merger, acquisition and divestiture activities. Mr. Cutler will remain actively involved with Fortis Health and, as Chairman of that company, will continue to have oversight responsibilities for the business.
J. Kerry Clayton, President and CEO, Fortis, Inc., said, "Under Ben Cutler's leadership, Fortis Health has delivered steadily improving growth, financial performance and market expansion. We now look forward to drawing on Ben's proven experience, expertise and broad industry knowledge to further Fortis, Inc.'s strategy of building and managing a select portfolio of specialty businesses that are leaders in their markets. We are also delighted that Don Hamm, who has played an important role in Fortis Health's recent success will be assuming day-to-day stewardship of the company as the new President of Fortis Health."
Ben Cutler, President and Chief Executive Officer of Fortis Health, said, "Fortis Health is now the strongest it has been in its 110-year history, and Don Hamm is the ideal person to ensure that the company will continue to execute on its commitment to deliver solid financial performance and operational excellence. Don is a person of great integrity who brings significant depth and talent to his new position, along with demonstrated leadership ability."
Don Hamm, Senior Vice President and Chief Financial Officer of Fortis Health, said, "I am committed to continuing the success of Fortis Health as a national leader in our niche of Individual and Small Group health insurance, and in legislative and regulatory reform. By working together with our strong management team, I look forward to ensuring that we remain a pioneer in the rapidly changing health insurance business while staying grounded in Fortis Health's first priority - to deliver on our financial commitments by creating and retaining value in the marketplace."
About Ben Cutler
With over 30 years' experience in the insurance industry, Ben Cutler has taken an active leadership role in the field. He currently serves as the Vice Chair of the Health Insurance Association of America (HIAA) and will become Chair in 2003, and is a board member of the Wellness Councils of America (WELCOA) and the Washington Business Group on Health (WBGH). He holds a B.S. from Kansas University and an M.B.A. from the Wharton School at the University of Pennsylvania.
Cutler will continue to serve as CEO of Fortis Health for the remainder of 2002, ensuring a smooth transition for the business. On an ongoing basis, he will remain actively involved with Fortis Health, serving as its new Chairman, with full responsibility for financial performance and operations. Cutler joined Fortis in 1985 and has served as President and CEO of Fortis Health since 1996.
About Don Hamm
A long-term Milwaukee resident, Hamm will become President September 1, 2002 and CEO of Fortis Health beginning January 1, 2003. Hamm originally joined Fortis Health in 1982, holding several executive positions until 1993. He then worked as a principal with William M. Mercer, a consultant with Tillinghast Towers Perrin and Vice President of another health insurer prior to rejoining Fortis Health in 1999 as CFO and Senior Vice President. Hamm holds a B.S. in actuarial science from Drake University and an M.S. in Health Care Management from the University of Wisconsin-Milwaukee.
Hamm is actively involved in the local community, including his service with The Greater Milwaukee Committee and other organizations. His industry affiliations include Fellow in the Society of Actuaries (FSA), American Academy of Actuaries (MAAA) member and Fellow of the Life Management Institute (FLMI). Hamm and his family reside in Mequon, Wis.
About Fortis Health and Fortis, Inc.: Fortis Health is committed to helping Americans meet their health insurance needs. In business since 1892, the company is a leader in the Individual Medical, Small Group, Short-Term and Student Health insurance markets. Fortis Health provides coverage for more than one million people nationwide. Its products are underwritten and issued by Fortis Insurance Company, John Alden Life Insurance Company and Fortis Benefits Insurance Company. Fortis Health is headquartered in Milwaukee, Wisconsin, and has operations in Minnesota, Florida, Idaho and Ohio.
Fortis Health is part of Fortis, Inc., a financial services company that, through its operating companies and affiliates, has built leadership positions in a number of specialty insurance market segments. Fortis, Inc. is part of Fortis, a financial services provider active in the fields of insurance, banking and investment. As of year-end, 2001, Fortis had total assets in excess of $400 billion. Fortis ranks 31st based on assets and 85th based on revenues on the Fortune 'Global 500' (July 22, 2002) and 38th on the Forbes Global 'Super 50' list (July 3, 2002).
Fortis Health can be found on the Internet at http://www.fortishealth.com. Fortis, Inc. can be found on the Internet at http://www.us.fortis.com .
Editor's note: Interviews and photos available upon request.
For additional information, contact: Michelle Love-Johnson
Seroka Public Relations