Acceptance Insurance Companies, Inc. (fka AICIQ)

[Enterprising Investor]

Form 8-K: Conversion to Chapter 7 (8/10/10)

As previously disclosed, on January 7 2005, Acceptance Insurance Companies Inc. (the “Company”) filed a voluntary petition under Chapter 11 of Title 11 of the United States Code (the “Bankruptcy Code”) in the United States Bankruptcy Court for the District of Nebraska (the “Bankruptcy Court”). The Company intends to file a motion with the Bankruptcy Court on or about August 13, 2010 to convert the Chapter 11 proceeding to a proceeding under Chapter 7 of the Bankruptcy Code. If the conversion to Chapter 7 is approved by the Bankruptcy Court, the Company no longer will remain in possession of its remaining assets and properties, will cease operating its remaining businesses and managing its remaining properties as debtors-in-possession pursuant to Sections 1107(a) and 1108 of the Bankruptcy Code and its assets and properties will be liquidated and/or held for the benefit of creditors. The Company believes that its stockholders and the holders of the Preferred Securities issued by AICI Capital Trust will not receive material distributions in or after the liquidation proceedings.

http://sec.gov/Archives/edgar/data/74783/000119312510184703/d8k.htm