PartnerRe’s Flood Estimate: $120 Million
PartnerRe Ltd. announced that the Company expects to record a charge of approximately $120 million, pre-tax and net of retrocession and reinstatement premiums, in its fourth quarter 2011 results related to the flooding in Thailand, which occurred in October and November, 2011.
This is in line with the Company’s previous announcement that its losses related to this event will be in the range of 0.5%-1.0% of the total insured industry losses. The Company’s estimate is consistent with an industry event loss estimate in excess of $15 billion.
Helicopter survey of flooding in Bangkok, October 2011:
As a result of this event, the increase to loss estimates related to the Tohoku earthquake in Japan previously announced by the Company on December 14, 2011, and other loss activity, the Company expects to report a fourth quarter 2011 pre-tax operating loss of between $110-$130 million.
The Company expects to report a fourth quarter 2011 after-tax operating loss of between $130-$150 million, or between $1.95 and $2.25 on a fully diluted per share basis.
The Thailand losses are expected to primarily impact the Company’s Global P&C, Global Specialty and Catastrophe, sub-segments.
