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13) Acquisitions | 9 Months Ended
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Sep. 30, 2017
Notes |
13) Acquisitions | 13) Acquisitions Acquisition of First Guaranty Insurance Company On July 11, 2016, the Company, through its wholly owned subsidiary Security National Life, completed the stock purchase transaction with the shareholders of Reppond Holding Corporation, an Arkansas corporation ("Reppond Holding") and sole shareholder of First Guaranty Insurance Company, a Louisiana domestic stock legal reserve life insurance company ("First Guaranty"), to purchase all the outstanding shares of common stock of Reppond Holding. Under the terms of the stock purchase agreement, dated February 17, 2016, between Security National Life and Reppond Holding, which was later amended on March 4 and 17, 2016, Security National Life paid a total of $6,753,000 at the closing in consideration for the purchase of all the outstanding shares of stock of Reppond Holding from its shareholders. The estimated fair values of the assets acquired and the liabilities assumed at the date of acquisition were as follows:
Fixed maturity securities, held to maturity | $ 43,878,084
Equity securities, available for sale | 646,335
Mortgage loans held for investment | 4,528,582
Real estate held for investment | 528,947
Policy loans | 145,953
Short-term investments | 5,358,403
Accrued investment income | 585,985
Cash and cash equivalents | 2,424,480
Receivables | 73,347
Property and equipment | 21,083
Deferred tax asset | 1,190,862
Receivable from reinsurers | 34,948
Other | 57,768
Total assets acquired | 59,474,777
Future policy benefits and unpaid claims | (52,648,838)
Accounts payable | (6,953)
Other liabilities and accrued expenses | (65,986)
Total liabilities assumed | (52,721,777)
Fair value of net assets acquired/consideration paid | $ 6,753,000
The estimated fair value of the fixed maturity securities and the equity securities is based on unadjusted quoted prices for identical assets in an active market. These types of financial assets are considered Level 1 under the fair value hierarchy. The estimated fair value of future policy benefits and unpaid claims is based on assumptions of the future value of the business acquired. Based on the unobservable nature of certain of these assumptions, the valuation for these financial liabilities is considered to be Level 3 under the fair value hierarchy. The Company determined that the estimated fair value of the remaining assets and liabilities acquired approximated their book values. The fair value of assets acquired and liabilities assumed were subject to adjustment during the first twelve months after the acquisition date if additional information became available to indicate a more accurate or appropriate value for an asset or liability. No adjustments were made. The following unaudited pro forma information has been prepared to present the results of operations of the Company assuming the acquisition of First Guaranty had occurred at the beginning of the three and nine-month periods ended September 30, 2016. This pro forma information is supplemental and does not necessarily present the operations of the Company that would have occurred had the acquisition occurred on those dates and may not reflect the operations that will occur in the future:
|  | For the Nine Months Ended September 30 (unaudited)
|  | 2016
Total revenues |  | $ 234,629,101
Net earnings |  | $ 11,472,978
Net earnings per Class A equivalent common share |  | $ 0.78
Net earnings per Class A equivalent common share |  |
assuming dilution |  | $ 0.76
The pro forma results for the three and nine-month periods ended September 30, 2017 and for the three-month period ended September 30, 2016 are not included in the table above because the operating results for the First Guaranty acquisition were included in the Company’s condensed consolidated statements of earnings for these periods.

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- Definition The entire disclosure for business combinations, including leverage buyout transactions (as applicable), and divestitures. This may include a description of a business combination or divestiture (or series of individually immaterial business combinations or divestitures) completed during the period, including background, timing, and assets and liabilities recognized and reclassified or sold. This element does not include fixed asset sales and plant closings. + References Reference 1: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 205 -SubTopic 20 -URI http://asc.fasb.org/subtopic&trid=2122178 Reference 2: http://www.xbrl.org/2003/role/presentationRef -Publisher FASB -Name Accounting Standards Codification -Topic 805 -URI http://asc.fasb.org/topic&trid=2303972 + Details
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