Pre-Paid Legal Blog

Pre-Paid Legal Letter to Shareholders

The attached "Letter to Shareholders" from our Chairman and CEO Harland C. Stonecipher was posted on our Web site for shareholders and/or electronically distributed to them today. Letter to Shareholders - No. 8 From Harland C. Stonecipher Date: May 16, 2006Recent negative publicity about us is but another example of what we have endured since becoming the target of a short attack five and a half years ago. Since then we have communicated directly with you several times to help you better understand what was taking place. By addressing the negative points brought up, we would like to bring you up-to-date on what we have been doing and where we are headed. Rereading the previous seven letters to shareholders will give you an even better understanding of what we have accomplished.The recent negative publicity addresses the lawsuits we have had to contend with, questions the value of our membership, seems to indicate that we may have regulatory problems, questions the viability of our business based on how long our members remain members, and suggests we are more interested in building a sales force than in delivering our product.

Pre-Paid Legal Issues Letter To Shareholders: Financial News - Yahoo! Finance

 

 

Pre-Paid Legal Comments On Negative Publicity

Pre-Paid Legal Services Inc.  in its letter to the shareholders commented about the recent negative publicity, especially through lawsuits against the company. The company said the lawsuits, which started five and a half years back, are baseless. According to the company, the negative publicity questions the value of its membership, seems to indicate that the company may have regulatory problems, questions the viability of the business based on how long the members remain members, and suggests the company is more interested in building a sales force than in delivering the product. The company said the recent publicity questions its viability.

Responding to the questions, Pre-Paid Legal said its focus is to grow the membership base, to make the membership ever more valuable, to remain economically sound, and to be even more aggressive in repurchasing the shares.

Daytrading, Eminis, Forex trading, Swing Trading BREAKING NEWS - 256991

 

 

Law and Disorder

WHEN PRE-PAID LEGAL Services was founded in the 1970s by Chairman and CEO Harland Stonecipher, it espoused a noble goal: to offer legal services to working Americans who lacked the means to retain private attorneys but made too much money to qualify for public legal assistance. Much like a health-maintenance organization, the company sells legal "memberships" for an average price of $250 per year, which entitles members and their families to consult an in-network attorney on a range of legal issues.

In recent years, however, Pre-Paid Legal Services has come under attack for offering less comprehensive coverage than its salespeople may advertise. Indeed, limitations abound on coverage for criminal and domestic matters, though a Pre-Paid attorney might be able to help you beat a traffic ticket. The company's sales organization, too, has raised eyebrows on Main Street and Wall, where Pre-Paid has gathered a sizable crowd of short sellers betting its stock price, now 35, will fall. Legal memberships are marketed via more than 468,000 independent salespeople, mostly part-timers, who are eligible to receive commissions on both memberships they sell and those sold by sales associates they recruit. With high attrition among policyholders, the shorts contend sales goals may be harder to reach, and that Pre-Paid, in seeking to attract salespeople, is exaggerating the prospects for their sales volume and compensation.

Insular and low-profile, Pre-Paid Legal has no peers.

Law and Disorder (Pre-Paid Legal Services)| SmartMoney.com

 

 

Pre-Paid Legal Reports 1st Quarter Net Income Increase

Pre-Paid Legal Services, Inc. reported first quarter net income of $13.07 million or $0.84 per share, compared to $8.95 million or $0.57 per share in the year-ago quarter. The latest quarter net income increased 46% primarily due to lower associate services and direct marketing expenses.

Quarterly revenue grew to $109.96 Million from $100.89 Million in the prior year quarter.

Daytrading, Eminis, Forex trading, Swing Trading BREAKING NEWS - 230668