Exhibit 99.1

CASE NAME: Acceptance Insurance Companies Inc.

CASE NO: 05-80059

Form OPR-1A

COMPARATIVE BALANCE SHEET

ASSETS


	12/31/09		1/31/10		2/28/10		3/31/10		4/30/10		5/31/10
CURRENT ASSETS:
Cash (Attach Recons. & Bk Stmts.)	2,715		1,798		2,011		2,740		2,752		2,468
Investment securities, at market	230,158		237,365		226,471		126,084		114,645		108,702
Prepaid expense & deposits	60,000		30,000		30,000		30,000		30,000		30,000

TOTAL CURRENT ASSETS	292,873		269,163		258,482		158,824		147,397		141,170


OTHER ASSETS:
Note receivable from AIC	20,000,000		20,000,000		20,000,000		20,000,000		20,000,000		20,000,000
Valuation allowance	(20,000,000	)	(20,000,000	)	(20,000,000	)	(20,000,000	)	(20,000,000	)	(20,000,000	)
Investment in AIC, at underlying book value	1,691,146		1,691,146		2,947,686		2,947,686		2,227,531		2,227,531
Contingent claims	0		0		0		0		0		0

TOTAL OTHER ASSETS	1,691,146		1,691,146		2,947,686		2,947,686		2,227,531		2,227,531


TOTAL ASSETS	1,984,019		1,960,309		3,206,168		3,106,510		2,374,928		2,368,701

I CERTIFY UNDER PENALTY OF PERJURY THAT THIS 5 PAGE OPERATING REPORT IS TRUE AND CORRECT.

Date Submitted June 7, 2010 Signed /s/ Gary N Thompson Printed Name of Signatory Gary N Thompson

CASE NAME: Acceptance Insurance Companies Inc.

CASE NO: 05-80059

Form OPR-1B

COMPARATIVE BALANCE SHEET

LIABILITIES AND STOCKHOLDERS EQUITY


	12/31/09		1/31/10		2/28/10		3/31/10		4/30/10		5/31/10
LIABILITIES:
Post-Petition debt (Sched. C)	32,285		20,563		66,980		26,796		28,245		33,237

Pre-Petition Debt:
Litigation claims	22,000,000		22,000,000		22,000,000		22,000,000		22,000,000		22,000,000
Unsecured liabilities	46,054		46,054		46,054		46,054		46,054		46,054
Unsecured debt	116,110,260		116,110,260		116,110,260		116,110,260		116,110,260		116,110,260

TOTAL LIABILITIES	138,188,599		138,176,877		138,223,294		138,183,110		138,184,559		138,189,551


SHAREHOLDERS EQUITY:
Preferred stock	0		0		0		0		0		0
Common stock	6,274,000		6,274,000		6,274,000		6,274,000		6,274,000		6,274,000
Paid-in capital	199,660,000		199,660,000		199,660,000		199,660,000		199,660,000		199,660,000
Treasury stock	(29,969,000	)	(29,969,000	)	(29,969,000	)	(29,969,000	)	(29,969,000	)	(29,969,000	)
Retained earnings:
As of filing date	(281,005,796	)	(281,005,796	)	(281,005,796	)	(281,005,796	)	(281,005,796	)	(281,005,796	)
After filing date	(31,163,784	)	(31,175,772	)	(29,976,330	)	(30,035,804	)	(30,768,835	)	(30,780,054	)


TOTAL SHAREHOLDERS EQUITY	(136,204,580	)	(136,216,568	)	(135,017,126	)	(135,076,600	)	(135,809,631	)	(135,820,850	)

TOTAL LIABILITIES AND SHAREHOLDER EQUITY	1,984,019		1,960,309		3,206,168		3,106,510		2,374,928		2,368,701

CASE NAME: Acceptance Insurance Companies Inc.

CASE NO: 05-80059

Form OPR-2

STATEMENT OF INCOME


	12/31/09		1/31/10		2/28/10		3/31/10		4/30/10		5/31/10
REVENUE:
Net investment income	331		209		206		120		61		57
Net realized gain	0		0		0		0		0		0
Other	0		0		0		0		0		0

OPERATING EXPENSES:
Salaries and benefits	(8,679	)	(4,498	)	(4,561	)	(4,589	)	(4,731	)	(4,780	)
Board fees and expenses	0		0		0		0		0		0
Financial advisor fees and expenses	0		0		0		0		0		0
Legal fees and expenses	(30,344	)	(5,006	)	(51,710	)	(5,919	)	(4,459	)	(5,550	)
Accounting fees and expenses	0		0		0		0		0		0
Actuarial services	0		0		0		0		0		0
Insurance	0		(525	)	0		(41,708	)	0		0
Franchise taxes	0		0		0		(2,002	)	0		0
Filing fees and expenses	(3,686	)	(1,027	)	0		(4,090	)	(2,978	)	0
Overhead expenses	(736	)	(789	)	(789	)	(779	)	(769	)	(746	)
Miscellaneous	(197	)	(351	)	(244	)	(507	)	0		(200	)

NET OPERATING INCOME / LOSS	(43,311	)	(11,987	)	(57,098	)	(59,474	)	(12,876	)	(11,219	)


OTHER INCOME (EXPENSE):
Interest expense	0		0		0		0		0		0
Income tax refund	0		0		0		0		0		0
Write-off of contingent claim (note)	0		0		0		0		0		0
Equity in operating earnings of AIC	0		0		1,335,695		0		(734,008	)	0
Equity in unrealized losses of securities of AIC	0		0		(79,155	)	0		13,853		0

TOTAL OTHER INCOME (EXPENSE)	0		0		1,256,540		0		(720,155	)	0


NET INCOME (LOSS)	(43,311	)	(11,987	)	1,199,442		(59,474	)	(733,031	)	(11,219	)

CASE NAME: Acceptance Insurance Companies Inc.

CASE NO: 05-80059

Form OPR-3

SOURCES AND USE OF CASH


	12/31/09		1/31/10		2/28/10		3/31/10		4/30/10		5/31/10
CASH DIFFERENCE:
Current ending cash balance	2,715		1,798		2,011		2,740		2,752		2,468
Less ending prior month balance	(140	)	(2,715	)	(1,798	)	(2,011	)	(2,740	)	(2,752	)

NET CASH INCREASE (DECREASE)	2,575		(917	)	213		729		12		(284	)


SOURCES OF CASH:
Net income (loss)	(43,311	)	(11,987	)	1,199,442		(59,474	)	(733,031	)	(11,219	)
Write-off of contingent claim	0		0		0		0		0		0
Equity in earnings and unrealized losses of AIC	0		0		(1,256,540	)	0		720,155		0

Decrease in:
Receivables	0		0		0		0		0		0
Marketable securities	28,020		0		10,894		100,387		11,438		5,943
Prepaid expenses & deposits	0		30,000		0		0		0		0
Increase in:
Post- petition debt	17,866		0		46,417		(40,184	)	1,450		4,992
Pre-petition debt	0		0		0		0		0		0

TOTAL SOURCES OF CASH	2,575		18,013		213		729		12		(284	)


USES OF CASH:
Increase in:
Receivables	0		0		0		0		0		0
Marketable securities	0		(7,208	)	0		0		0		0
Decrease in:
Post- petition debt	0		(11,722	)	0		0		0		0
Pre-petition debt	0		0		0		0		0		0

TOTAL USES OF CASH	0		(18,930	)	0		0		0		0


NET CASH INCREASE (DECREASE)	2,575		(917	)	213		729		12		(284	)

CASE NAME: Acceptance Insurance Companies Inc.

CASE NO: 05-80059

SCHEDULE C

SCHEDULE OF POST PETITION DEBT

ACCEPTANCE INSURANCE COMPANIES INC 8-K