ACE Limited (NYSE: ACL) today reported income excluding net realized gains for the fiscal 2000 first quarter ended March 31, 2000 of $127.0 million or $0.58 per share compared with $111.8 million, or $0.57 per share, for the same quarter in 1999. Net income for the fiscal 2000 first quarter was $174.5 million or $0.80 per share compared with $129.0 million, or $0.65 per share, for the same quarter last year. Earnings per share calculations above are based on the weighted average number of shares calculated in accordance with FAS 128 on a diluted basis. The fully diluted book value per share of the company at March 31, 2000 was $20.76.
Brian Duperreault, chairman and chief executive officer of ACE, commented: "This is the first quarter that fully reflects all of the units that constitute what we call the "New ACE". We are truly pleased to see how everything we worked for over this last year came together in the first quarter. We integrated our diverse operations, achieved significant premium growth, produced underwriting profits in every one of our business segments and completed the final portion of our permanent financing associated with the CIGNA P & C acquisition."
Mr. Duperreault further commented: "With our global platform now solidly in place and our acceptance in the marketplace at an all time high, we are very busy responding to the increased demand for our services. We feel we are in the right place at the right time and are focused on creating new opportunities to expand the services we offer to our worldwide client base."
Gross premiums written during the quarter increased by more than four and a half times to $2.0 billion, compared with $435 million for the comparable quarter last year.
Net premiums written during the quarter increased by more than four times to $1.5 billion compared with $340 million for the same period last year. Net premiums earned during the quarter were up almost four times to $1.1 billion from $285 million in the same quarter last year.
Net investment income, excluding net realized gains, was $182.9 million for the fiscal 2000 first quarter, compared with $86.5 million for the same period last year. During the quarter, ACE had net realized gains, net of tax, of $47.5 million, compared with $17.3 million for the same quarter last year.
The ACE Group of Companies provides insurance and reinsurance for a diverse group of clients. The ACE Group conducts its business on a global basis with operating subsidiaries in nearly 50 countries. Additional information can be found at: www.acelimited.com.
Application of the Safe Harbor of the Private Securities Litigation Reform Act of 1995:
Any forward-looking statements made in this press release reflect the Company's current views with respect to future events and financial performance and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such statements involve risks and uncertainties which may cause actual results to differ materially from those set forth in these statements. For example, market acceptance of ACE's diversification and expanded services could change as a result of competition in the industry or as a result of perceptions which ACE may not be able to predict or control. ACE's forward-looking statements could be affected by the levels of new and renewal business achieved; pricing, demand and competition in the industry; and market conditions affecting ACE's investments. Also, the frequency of unpredictable catastrophic events, differences between estimates and actual reported losses, and economic, regulatory, insurance and reinsurance business conditions and other factors identified in the Company's filings with the Securities and Exchange Commission could affect the forward-looking statements contained in this press release. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the dates on which they are made. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
ACE Corporate Announcements - First Quarter, 2000
March 22, 2000 - New Appointment at ACE European Markets
ACE Bermuda Insurance Ltd., a wholly owned subsidiary of ACE Limited, announced that James C. Hooban has been appointed to the newly-created position of Managing Director of ACE European Markets Insurance Limited and ACE European Markets Reinsurance Limited (ACE European Markets), subsidiaries of ACE Bermuda in Dublin, Ireland.
March 13, 2000 - ACE USA Names Bruce Eisler SVP of Professional Liability
ACE USA, the U.S. operations of ACE Limited, has named Bruce M. Eisler senior vice president of Professional Liability. Eisler will be responsible for managing individual Errors & Omissions accounts for companies specializing in media, real estate, consulting, and numerous other classes of professional liability.
March 9, 2000 - ACE International Appoints Fumio Tokuhira Chairman of ACE Insurance Japan
ACE International has announced the appointment of Mr. Fumio (Tommy) Tokuhira as the new Chairman for ACE Insurance Japan, effective March 9, 2000. Tokuhira-san was formerly the Chairman of AIU Insurance Company in Japan until December 1999. Tom Rowe will continue to be President of ACE Far East and will remain on the ACE Japan board of directors.
March 7, 2000 - ACE INA Appoints Craig A. Nyman Vice President & Treasurer
ACE INA, a wholly-owned subsidiary of ACE Limited, has named Craig Nyman vice president and treasurer. Nyman is responsible for the development of treasury operations that support ACE INA, ACE USA and ACE International. In addition, he assists the business units with their strategic goals and oversees cash management and bank relations.
March 2, 2000 - INATrust, fsb, A Federally Chartered Thrift Institution, Opens For Business At Two Liberty Place in Philadelphia
INATrust, fsb, a federally chartered thrift institution, officially opened for business at Two Liberty Place in Philadelphia on February 9, 2000. INATrust is a wholly-owned subsidiary of INA Holdings Corporation, which is part of the ACE Group of Companies, headed by ACE Limited. INATrust was formed to capitalize on business opportunities presented by the enactment of financial services reform legislation. The new bank is authorized to exercise self-directed trust powers for both corporate and consumer accounts, as granted to savings & loan associations federally chartered by the Office of Thrift Supervision.
February 25, 2000 - ACE USA Appoints Michael Coleman Senior Vice President of Agricultural Operations
ACE USA, a wholly-owned subsidiary of ACE Limited, has appointed Michael Coleman, senior vice president, ACE Agricultural Operations. Coleman will lead the newly combined crop and farm operations of ACE USA.
February 14, 2000 - ACE INA Appoints Brad Barash Vice President of Financial Reporting
ACE INA has appointed Brad Barash vice president, Financial Reporting. Barash will head up the consolidation function, including external financial reporting and consolidated management reporting for the organization.
February 3, 2000 - Tempest Re Appoints Wayne Daniel to Establish UK Operations
Tempest Reinsurance Company Limited announced that Wayne A. Daniel has been appointed to lead Tempest Re's multiline expansion into the European and Asian reinsurance markets.
January 31, 2000 - ACE INA Appoints Robert Omahne President, ACE Financial Solutions
ACE INA has named Robert Omahne president, ACE Financial Solutions, a newly-formed business unit focused on non-traditional insurance and financial risks. In this role, Omahne will be primarily responsible for the development of financial risk insurance products, as well as lead the ACE INA movement to address the convergence of finance and insurance.