GRAND RAPIDS, Mich. [December 14, 2000] -- Farmers Insurance Group of companies, based in Los Angeles, Calif, announced it will become the title sponsor of the newly named Farmers Charity Classic, the Grand Rapids-based SENIOR PGA TOUR event hosted by the Grand Rapids Jaycees Foundation. Farmers' sponsorship contract, which runs through 2004, includes an increase in the tournament purse and broadcast of the event nationally on CNBC.

This makes the Farmers Charity Classic, the local tournament that's often referred to as "West Michigan's Premier Sporting Event," one of just 34 SENIOR PGA TOUR events to be broadcast on CNBC. In addition to breaking new ground with a nationally televised tournament, Farmers has signed the longest title sponsor contract in the event's history and committed to raising the tournament's profile by increasing the purse $300,000 in 2001 and $100,000 each subsequent year to a total of $1.7 million by 2004.

The change in sponsorship follows the March 2000 Farmers Insurance Group acquisition of Caledonia-based Foremost Corporation of America, title sponsor of the Foremost Insurance Championship in 1999 and 2000. Farmers becomes the third title sponsor of the SENIOR PGA TOUR event, begun in 1986 as the Greater Grand Rapids Open. Farmers Insurance Group includes the nation's third-largest automobile and homeowners insurance companies, and is a major provider of life and small business insurance. Farmers is a member of the Zurich Financial Services Group, one of the world's leading insurance and asset management companies.

"When Farmers acquired Foremost earlier this year, we knew that the golf tournament was a great opportunity for Farmers to enhance its brand on the local and national level," said Jeff Beyer, Vice President of Corporate Communication at Farmers. "At the same time, we were committed to elevating the event. By broadcasting the tournament nationally for the first time, we feel that we will achieve that goal."

The 2001 Farmers Charity Classic is July 2-8 at Egypt Valley Country Club and will be broadcast on CNBC on Saturday and Sunday, July 7 and 8, from 6-8 p.m. EDT. Friday coverage of the event will be carried on the PAX TV Broadcast network from 1-3 p.m. EDT. PAX is owned jointly by Paxson Communications Corporation and NBC, parent company to CNBC.

Earlier this year, the SENIOR PGA TOUR signed a four-year agreement with CNBC and PAX to televise 34 SENIOR PGA TOUR events domestically beginning in 2001. Additionally, the Farmers Charity Classic will be a part of the Charles Schwab Cup, a season-long, points-based program for SENIOR TOUR players. The winner of the Charles Schwab Cup will be awarded a $1 million annuity.

"This is an exciting day in the tournament's history," said Martin Hillard, President of the Grand Rapids Jaycees Foundation, the 501(c)3 charitable organization that hosts the event. "Who could have envisioned that what started in 1978 as a one-day golf outing organized by the Grand Rapids Jaycees would evolve into a nationally televised SENIOR PGA TOUR event with a purse of $1.4 million? We are very excited that Farmers has made such a substantial commitment to the West Michigan community. Over the next four years, the Farmers Charity Classic will generate more than $1.5 million for local charities."

The decision by Farmers to assume title sponsorship was strongly supported by Foremost.

"Soon after the acquisition, Farmers began to closely scrutinize the value of the tournament as a marketing vehicle," explained Jack Hannigan, Executive Vice President and Chief Marketing Officer of Foremost Insurance Group. "It was only after visiting the tournament and considering input from Foremost that Farmers made the four-year commitment to underwrite the purse and broadcast the event on CNBC. After considering the value of the national television exposure and first-class hospitality, it was clear that the tournament was an ideal way for Farmers to meet some critical business objectives."

Farmers will leave management of the event to key Foremost employees based at Foremost's headquarters outside of Grand Rapids.

The Farmers Charity Classic has raised more than $2.5 million for West Michigan charities since its inception as a one-day golf outing. For more information on attending, sponsoring, or volunteering for the tournament, call (616) 235-0943.

Summary of new contract

• Farmers Insurance Group, a Los Angeles-based company, assumes title sponsorship of the Farmers Charity Classic - Grand Rapids' SENIOR PGA TOUR event. Farmers acquired Caledonia-based Foremost Insurance Company, the title sponsor of the event in 1999 and 2000, in March of this year.
  
• Farmers Insurance Group will title sponsor the tournament from 2001-04, to run concurrent with the SENIOR PGA TOUR's four-year contract with broadcast partners CNBC and PAX.
  
• The Farmers Charity Classic purse will increase to $1.4 million in 2001, up $300,000 from 2000. The purse will increase annually in $100,000 increments, reaching $1.7 million by 2004.
  
• CNBC / PAX will broadcast 34 SENIOR PGA TOUR events nationally beginning in 2001.
  The Grand Rapids Jaycees Foundation, the 501(c)3 charitable organization that has served as host of the event since its inception in 1986, will continue in this role. As they have been in the past, proceeds from the event will continue to accrue to the Foundation and be distributed to West Michigan charities. Members of the Grand Rapids Jaycees will continue to oversee event operations on behalf of the Foundation. To date, more than $2.5 million dollars have been generated by the event for local charities.
  
• The Farmers Charity Classic will be a part of the Charles Schwab Cup, a season-long points-based program for players. The winner of the Charles Schwab Cup will win a $1 million annuity.
  
• The Farmers Charity Classic has a contract to be held at Egypt Valley Country Club through 2002.

Description of television partners

• CNBC is the recognized global leader in business news, providing real-time financial market coverage and business information to more than 150 million homes worldwide each weekday throughout business day hours of 5 a.m. to 7:30 p.m. (ET). In the U.S. alone, CNBC is distributed to more than 74 million households.

In addition to its headquarters in Fort Lee, NJ, CNBC has news bureaus in Midtown Manhattan, the New York Stock Exchange, Washington, DC, Chicago, Los Angeles, London, and Singapore. CNBC also has news and studio operations in key Wall Street Journal bureaus in cities such as San Francisco, Palo Alto and Seattle. CNBC viewers can manage their individual investment portfolios and gain additional in-depth information from on-air reports by accessing CNBC.com.

• Paxson Communications Corporation owns and operates the nation's largest broadcast television station group and PAX TV, the newest broadcast television network. PAX TV, the national family entertainment network, reaches 80 percent of U.S. television households via the company's nationwide broadcast television and cable distribution system.

Through the company's strategic relationship with the National Broadcasting Company (NBC), PAX is bolstering its regular programming lineup with the addition of NBC's popular game show "Twenty One," on Saturday nights. The foundation of the PAX Monday-through-Friday primetime schedule includes original series "Hope Island," "Chicken Soup For The Soul," "Twice In A Lifetime," and "It's a Miracle." Leading into prime time is the all-new game show block that includes original episodes of "Supermarket Sweep," "Shop 'Til You Drop" and "Hollywood Showdown."

Additionally, the lineup features off-network runs of the hit series "Touched By An Angel" and "Diagnosis Murder," as well as original specials and theatrical and made-for-television movies. For more information, visit PAX TV's web site at www.paxtv.com.