PICO Holdings, Inc. Announces Resolution of Debt Covenant Breach at Northstar Agri Industries

LA JOLLA, Calif., Dec. 5, 2012 (GLOBE NEWSWIRE) -- PICO Holdings, Inc. (Nasdaq:PICO) announced today that its proposal to cure a breach of a debt covenant by its subsidiary, Northstar Agri Industries, has received approval from the debt syndicate that provided Northstar's $89.5 million term loan. With this approval, PICO has converted its existing loan of $10.5 million to preference equity capital in Northstar which has reduced the debt to adjusted capitalization ratio to below 0.6 as required under Northstar's debt covenant.

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CONTACT: Max Webb
         Chief Financial Officer
         (858) 456-6022, ext. 216

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