ACE Limited Evaluates Exposure in the Wake of Terrorist Attacks.Business & News Editors HAMILTON, Bermuda--(BUSINESS WIRE)--Sept. 12, 2001 As ACE Limited (NYSE NYSE See: New York Stock Exchange :ACE) examined its levels of insurance and reinsurance The contract made between an insurance company and a third party to protect the insurance company from losses. The contract provides for the third party to pay for the loss sustained by the insurance company when the company makes a payment on the original contract. exposure, the Company joined the world community in condemning con·demn tr.v. con·demned, con·demn·ing, con·demns 1. To express strong disapproval of: condemned the needless waste of food. 2. yesterday's acts of terrorism in the United States A common definition of terrorism is the systematic use or threatened use of violence to intimidate a population or government and thereby effect political, religious, or ideological change. . Brian Duperreault, chairman and chief executive officer of ACE Limited, said: "The human toll is beyond comprehension. While we believe that the lives of all ACE employees who worked near the World Trade Center were spared, none of us has been left unscarred by this horrific series of events." "We are assessing the impact on ACE, as we must, and we are in an excellent position to weather this catastrophe. At the same time, the safety, security and well-being of our employees are uppermost in our minds. We are also reaching out in whatever way we can to assist those business partners, families and friends whose lives have been changed forever." Mr. Duperreault said that an event of such unprecedented magnitude would have a significant negative impact on the Company's third quarter results. "As a result of these events, we estimate that third quarter net operating income Operating Income The profit realized from a business' own operations. Notes: This would not include income from things such as investments in other firms. Also referred to as operating profit or recurring profit. , after tax, will be reduced by approximately $400 million." Mr. Duperreault said that all ACE offices in the U.S., with the exception of space occupied in the vicinity of the World Trade Center, will be open for business on Thursday. The ACE Group of Companies provides insurance and reinsurance for a diverse group of clients. The company conducts its business on a global basis with operating subsidiaries An operating subsidiary is a business term frequently used within the United States railroad industry. In the case of a railroad, it refers to a company that is a subsidiary but operates with its own identity and rolling stock. in nearly 50 countries. Additional information can be found at: http://www.acelimited.com. Application of the Safe Harbor Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. of the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995: Any forward-looking statements forward-looking statement A projected financial statement based on management expectations. A forward-looking statement involves risks with regard to the accuracy of assumptions underlying the projections. 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. Among other things, the impact of the recent tragedy on the Company's financial results will depend on the number of insureds and reinsureds affected by the disaster, and the amount and timing of losses actually incurred and reported by insureds and reinsureds. Also, competition in the industry, levels of new and renewal business achieved, market acceptance, the frequency of unpredictable catastrophic events and economic, market, 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. |
|
||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion