ACE Posts Lower Net After Gains Decline.(second quarter of 1999)

National Underwriter Property & Casualty-Risk & Benefits Management, May, 1999

ACE Ltd. of Hamilton, Bermuda posted a 48 percent drop in net income in the latest quarter as realized investment gains returned to normal. Net income in the second fiscal quarter of 1999 was $129 million, or 67 cents a share, compared with $247.9 million, or $1.40 a share, a year ago. During 1999's second quarter, ACE had net realized gains of $17.3 million, compared with gains of $145.6 million, a year earlier.

Excluding realized gains, net income rose 9.2 percent to $111.8 million, or 57 cents a share, from $102.3 million, or 56 cents a shore. Gross premiums written during the quarter increased 65.4 percent to $435.5 million from $263.3 million a year ago. Net premiums written rose 49 percent to $340.7 million from $228.6 million.