1st Feb 2006 07:00
BRIT Insurance Holdings PLC01 February 2006 PRESS RELEASE 1st February 2006For immediate release Brit Insurance Holdings PLC 2005 Profits and Dividend Update Brit Insurance Holdings PLC ("Brit"), the UK-based international general insurerand reinsurer, today releases the following upgrade to market forecasts. Profits Driven by good performance both in its non-catastrophe exposed underwritingportfolios and in its investment portfolio, Brit expects that its pre-tax profitfor 2005 will be in the region of £60 million, significantly ahead of marketconsensus expectations. The expected profit takes into account a revision in the original provisions forHurricanes Katrina, Rita and Wilma. Brit has strengthened total reserves forthese windstorms from $325 million net of reinsurance recoveries andreinstatements to $385 million. This strengthening is in the energy account,where Brit is largely a follower and relies on third parties for loss reports,which remain slow to materialise. Dividend Brit is pleased to announce that in the absence of material unforeseendevelopments, it will be recommending to shareholders a final dividend of 3p pershare for 2005 making a total of 6p for the year. Dane Douetil, Chief Executive of Brit, said: "Despite insured catastrophe lossesin 2005 being the highest on record, we anticipate producing pre-tax profits forthe year well ahead of current market expectations and I am particularly pleasedwith the contribution made by our non-catastrophe underwriting portfolios. "Our expected profit demonstrates that a well balanced portfolio can generategood positive results, even in an extreme catastrophe year. 2006 has startedwell and the outlook for trading is positive. With our excellent team ofunderwriters, improved capital mix, strong rating and broad spread of businesswe are well positioned to deliver shareholder value". -Ends- Enquiries Dane Douetil, Brit Insurance Holdings PLC 020 7984 8500 Peter Rigby, Haggie Financial 020 7417 8989 This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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