Orascom Inv Regulatory News (OIH)

1 Jun 2007 07:01

Omega Insurance Holdings Limited01 June 2007 OMEGA INSURANCE HOLDINGS LIMITED AGM Statement At its AGM today, Walter Fiederowicz, Chairman of Omega Insurance Holdings Limited ("Omega") will make the following statement: "We are extremely pleased with the trading position of the Omega Group at thisstage of 2007. Rates, terms and conditions in our key areas of business remainat attractive levels affording good margins. Income levels are currently in linewith expectations. The pricing of the US catastrophe reinsurance business is at the levels itachieved at the start of 2006. In the US property insurance account, increasedcompetition is almost exclusively targeted at business larger than the smallbusiness on which Omega's account is focused. As we anticipated in our previously stated expectations, we are not experiencingany material reduction in income from Florida. The impact of their insurancelegislation earlier in 2007 appears to have been generally over-estimated andpricing on Omega's account is holding firm. The development of Syndicate 958's offshore energy account is proving verysatisfactory with good rates achieved on exposures. Not for the first time, pricing of non-US catastrophe business continues to beweakened by the quest for diversification by many reinsurers. We have alreadymaterially cut back our exposures in areas where pricing is weakest but have thebenefit of a portfolio with an inherent diversity and balance, even within theUS itself. I am also pleased to report that A.M. Best recently reaffirmed their financialstrength ratings of Omega Specialty and Syndicate 958 at A- (Excellent) and A(Excellent) respectively. A.M. Best described the Syndicate as having a"distinctive business position as a specialist underwriter of small tomedium-sized property business". The profits forecast for the open years of 2005 and 2006 continue a record ofunbroken underwriting profits for the Syndicate since its inception in 1980. With operations in Bermuda, Cologne and London and our newly established USsurplus lines insurance company, we believe the Group is ideally positioned totake advantage of attractive market opportunities. We remain positive on theoutlook for the financial performance of the Group in 2007 and are confident andenthusiastic about the prospects and potential beyond." Enquiries: Omega Insurance Holdings Limited +1 441 294 6610Richard Tolliday, CEO John Coles, Threadneedle Communications +44 (0)20 7936 9604 Notes to Editors Omega became the new holding company of the Omega group on 9 November 2006 whenthe scheme of arrangement of Omega Underwriting Holdings PLC (the Omega group's previous holding company and now wholly-owned by Omega) ("OUH") became effective. On the same day the common shares of Omega were admitted to trading on AIM, the admission of OUH's shares to trading on AIM was cancelled and OUH was re-registered as a private limited liability company. The Omega group, through its wholly owned subsidiary, Omega Underwriting AgentsLimited, acts as a Lloyd's managing agent for Syndicate 958 and in February 2006established a new insurance and reinsurance business, Omega Specialty Insurance Company Limited ("Omega Specialty"), based in Bermuda. In September 2006 Omega incorporated a new subsidiary, Omega US Insurance, Inc. ("Omega US Insurance"), in Delaware which is held under a Delaware incorporated intermediate holding company Omega US Holdings, Inc.. • Syndicate 958 Syndicate 958 had a capacity for the 2006 year of account of £249 million and capacity for the 2007 year of account has been increased to £274 million. The Syndicate has made an underwriting profit in every closed year of account sinceits inception in the 1980 year of account. The Syndicate has focused predominantly on short-tail property insurance and reinsurance, insuring small to medium sized insureds and reinsuring the smaller insurance companies. The Syndicate's financial strength rating from A.M. Best Company, Inc. of "A" (Excellent) and an Issuer Credit Rating of "a+" (Excellent) were reaffirmed on 21 May 2007. • Omega Specialty Omega Specialty is authorised by the Bermuda Monetary Authority as a Class 3 insurer, underwriting its targeted classes of insurance and reinsurance, key in which are non-marine property insurance, professional indemnity insurance, property catastrophe treaty reinsurance and property per risk treaty reinsurance. Omega Specialty's financial strength rating from A.M. Best Company, Inc. of "A-" (Excellent) was reaffirmed on 21 May 2007. • Omega US Insurance Omega US Insurance is authorised as an admitted insurer in Delaware and will underwrite on a surplus lines basis in all other US States once it has been granted the requisite eligibility in each US State. It is capitalised at US$50 million from the net proceeds of a share placing by OUH in October 2006. Omega US Insurance will obtain a rating from A.M. Best. This information is provided by RNS The company news service from the London Stock Exchange