Fidelity National Financial chief executive Alan L. Stinson is stepping down from that job, but remaining with the company as an executive vice president. Chief operating officer George P. Scanlon will take over the CEO job.
In a statement, FNF chairman William P. Foley II said Stinson wanted to remain with FNF "as a senior executive officer, but in a less rigorous capacity than his role as CEO."
In his new job, Stinson will report to Foley and focus on oversight and board membership for FNF's portfolio companies with an emphasis on accounting and finance activities, investor relations and mergers and acquisitions.
The announcement of Stinson's resignation came as the company released its third quarter results, where it turned a profit of $83 million, up from a profit of $73 million one year prior.
Total revenue at FNF was $1.42 billion, down from $1.47 billion one year ago. The title insurance operation contributed $1.29 billion, compared with $1.35 billion for the same period last year.
Pre-tax earnings from the title business were $136 million, up from $120 million in last year's third quarter.
Direct orders opened totaled 711,900 for the quarter, up from 568,600 for the third quarter 2009. Foley said two-thirds of the open orders and 63% of the closed orders for the third quarter were due to refinancings.
He added the foreclosure situation should not have a material adverse impact on FNF.
"FNF's title insurance underwriters issue title policies on REO properties to new purchasers and lenders to those purchasers. FNF believes that these policies will not result in additional claims exposure to FNF because the new owners and their lenders would have the rights of good faith purchasers which should not be affected by potential defects in documentation.
"Even if a court sets aside a foreclosure due to a defect in documentation, the foreclosing lender would be required to return all funds obtained from our insureds, resulting in no loss under the title insurance policy," Foley said.
He referred to the recent agreement between FNF and Bank of America, adding the company is requiring similar representation and indemnification on future REO transactions with all other lenders.
