ULLICO Inc. Continues Momentum

    Highlights for the quarter:

    -- The Life and Health Unit contributed pretax earnings of $2.1 million
       from continuing operations, compared to $3.0 million for the same
       period last year.  Earnings in the quarter were impacted by higher
       claims incurred for the Medical Stop Loss line; which was partially
       offset by favorable Direct Marketing and Specialty Health results.
       Revenue from continuing lines was $33.4 million, an increase of 7.4%
       over the same quarter in 2007, led by the core Medical Stop Loss and
       Group Life lines of business.
    -- The Property and Casualty Business Unit contributed pretax earnings of
       $1.4 million, compared to $0.6 million for the same period last year.
       Revenue from continuing lines was $11.8 million, an increase of 64.4%
       over the same quarter in 2007.  The increase was a result of continued
       strong sales in the core lines of businesses (Fiduciary, Union
       Liability and Workers Compensation) and a significant increase in the
       recently expanded Commercial lines of business.
    -- Retirement Services earnings remain strong at $5.7 million, compared to
       $4.3 million for the same period last year, driven by continued growth
       in assets under management within our flagship Separate Account J (J
       for Jobs Fund), which grew from $2.9 billion at March 31, 2007 to $3.4
       billion at March 31, 2008.  In addition, Retirement Services benefited
       this quarter from $0.7 million of unexpected investment income from
       limited partnership investments.

In addition, consolidated operating income benefited from reduced corporate overhead and general expenses. As of December 31, 2007, the Company determined that a valuation allowance was no longer required as a contra-asset to the deferred income tax assets. The Company recorded federal income tax expense in the amount of $1.4 million for the quarter ending March 31, 2008. There was no federal income tax provision recorded for the quarter ending March 31, 2007.

Total premium and fee revenue for the quarter was $64.5 million compared to $65.8 million in the prior year's quarter. Core revenue of the Company's continuing lines was $55.0 million compared to $46.6 million last year, an increase of 18%. Revenue from our exited lines decreased to $9.6 million from $19.1 million due to the continued run-off of the Company's fully insured group health business following the decision in late 2006 to no longer actively market these products.

Mark Singleton, ULLICO CEO stated: "The strong loss ratio results as well as continued revenue growth in our core lines of business is very encouraging, especially considering the overall soft market and aggressive pricing actions by a number of our competitors. Our strategy to broaden our product portfolio and expand our markets is clearly paying dividends by facilitating continued overall growth without sacrificing underwriting discipline and core profitability. We are optimistic that these trends will continue for the balance of the year."

Chairman Joseph Hunt stated, "I'm pleased with ULLICO's first quarter results and its continued momentum despite the challenges that face us in our various markets. We appreciate all who actively support ULLICO by continuing to invest in the products and services we provide to organized labor."

    Quarterly Financial Results at a Glance

    (In Millions)               1st Quarter   1st Quarter       Variance
                                    2008          2007

    Total Income                   $72.0         $73.8            ($1.8)
    Total Benefits & Expenses       67.9          70.4              2.5
    Pre-Tax Operating Income
     before Non-Recurring
     Transactions                   $4.1          $3.4             $0.7
    Tax Expense (benefit)            1.5             -             (1.5)
    Net Income before
     Non-Recurring Transactions     $2.6          $3.4            ($0.8)
      Non-Recurring
       Transactions                    -          (0.1)             0.1
    Net Income                      $2.6          $3.3            ($0.7)

About ULLICO Inc.

ULLICO Inc. is a $5.4 billion holding company whose subsidiary companies include The Union Labor Life Insurance Company, ULLICO Investment Advisors, Inc. (formerly Trust Fund Advisors, Inc.), ULLICO Casualty Company (formerly Ulico Casualty Company) and ULLICO Casualty Group (formerly Ulico Insurance Group). The ULLICO Inc. family of companies offers insurance and financial services. For additional information, visit http://www.ullico.com.

Forward-Looking Statements

This press release may contain certain "forward-looking statements." In particular, statements regarding growth in our business are forward-looking statements as are discussions of our product pipeline and expected performance. Such forward-looking statements involve known and unknown risks, uncertainties and other important factors that could cause the actual results, performance or achievements of ULLICO Inc. or its subsidiary companies, or the industry results, to differ materially from any future results, performance or achievements expressed or implied by such forward-looking statements.

ULLICO's forward-looking statements speak only as of the date of this press release or as of the date they are made, and ULLICO undertakes no obligation to update its forward-looking statements.

SOURCE ULLICO Inc.

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