Pursuant to the Settlement Agreement, ZAIC has agreed to pay the Company $7.65 million in cash no later than January 4, 2012. In addition, the Company has agreed to release and indemnify, and ZAIC has agreed to release, the other and the other's affiliates, directors, officers and attorneys from any claims related to the lawsuit or the facts and circumstances at issue in the litigation. The Company's release and indemnification obligations are conditioned on receipt of the $7.65 million settlement payment, and ZAIC's release obligations are conditioned on the execution of a joint dismissal of the lawsuit. Pursuant to the terms of the settlement reached by the Company in the underlying class action lawsuit, the Company is required to pay the class action plaintiffs the first $1.25 million from the Company's recovery against ZAIC in the coverage lawsuit.

In accordance with General Instruction B.2 of Form 8-K, the information in this Item 7.01 (including Exhibit 99.1) is being furnished pursuant to Item 7.01 and shall not be deemed "filed" for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), or otherwise be subject to the liabilities of that section, and such information shall not be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, whether made before or after the date hereof and regardless of any general incorporation language in such filing. Furthermore, the furnishing of information under Item 7.01 of this Current Report on Form 8-K is not intended to constitute a determination by the Company that the information contained herein (including the exhibits hereto) is material or that the dissemination of such information is required by Regulation FD.