HAMILTON, Bermuda, Apr 19, 2004 /PRNewswire-FirstCall via COMTEX/ -- White Mountains
Insurance Group, Ltd. (NYSE: WTM) announced today the formation of White
Mountains Re Group, Ltd., a Bermuda-based holding company, and the appointment
of Steven Fass as its President and CEO. White Mountains Re will combine
Folksamerica Re, Fund American Re and White Mountains Underwriting with the
newly acquired Sirius Insurance Group to form a cohesive, global reinsurance
organization. White Mountains' reinsurance operations now have combined
regulatory capital of approximately $2 billion and over $2 billion in gross
premiums. White Mountains Re will rank among the top 15 reinsurance
organizations in the world.
White Mountains' CEO Ray Barrette said, "With the Sirius acquisition,
Steve has built a significant global business for White Mountains. As CEO of
White Mountains Re Group, Steve will make sure the operating companies
continue the approach he developed at Folksamerica of conservative
underwriting, careful capital management and opportunistic acquisitions. He
and some of his key partners will now be based in Bermuda to oversee all of
our reinsurance operations."
Edward Stanco has been appointed President and CEO of Folksamerica Re,
replacing Steve Fass who has been appointed Chairman. Folksamerica Re will
continue as the U.S. reinsurance arm of White Mountains Re.
Michael Maloney and Michael Tyburski join Steve Fass as the White
Mountains Re holding company team serving as Managing Directors. Both were
Executive Vice Presidents at Folksamerica Re.
Ron Stanziale, Senior Vice President and Chief Accounting Officer of
Folksamerica Re, has been appointed Chief Financial Officer of Folksamerica
Steve Fass said, "Ed is an outstanding professional with over 30 years of
experience in the reinsurance field. At Folksamerica for the last two years,
Ed, as Senior Vice President and Chief Domestic Treaty Officer of Folksamerica
Re, has demonstrated both his technical skills and his leadership abilities. I
am very comfortable about Folksamerica's future with Ed at the helm."
Steve continued, "Mike Tyburski and Mike Maloney are valued partners who
have contributed significantly to the success of Folksamerica. Their
knowledge and dedication will be invaluable to White Mountains Re."
Through Folksamerica Reinsurance Company, Sirius International Insurance
Corporation and White Mountains Underwriting Limited, White Mountains Re
offers lead capacity for most property, casualty, accident & health and marine
exposures. Program business is written through Sirius America Insurance
Company. Underwriting offices are located in New York, Stockholm, Chicago,
Belgium, Miami, London, Connecticut, Bermuda, Hamburg, Toronto, Singapore and
White Mountains is a Bermuda-domiciled financial services holding company
traded on the New York Stock Exchange and the Bermuda Stock Exchange under the
symbol WTM. Additional financial information and other items of interest are
available at the Company's web site located at www.whitemountains.com.
Safe Harbor Statement under the Private Securities Litigation Reform Act
This press release may contain "forward-looking statements" within the
meaning of Section 27A of the Securities Act of 1933 and Section 21E of the
Securities Exchange Act of 1934. All statements, other than statements of
historical facts, included or referenced in this release which address
activities, events or developments which we expect or anticipate will or may
occur in the future are forward-looking statements. The words "believe,"
"intend," "expect," "anticipate," "project," "estimate," "predict" and similar
expressions are also intended to identify forward-looking statements. These
forward-looking statements include, among others, statements with respect to
-- growth in book value per share or return on equity;
-- business strategy;
-- financial and operating targets or plans;
-- incurred losses and the adequacy of its loss and loss adjustment
-- projections of revenues, income (or loss), earnings (or loss) per
share, dividends, market share or other financial forecasts;
-- expansion and growth of its business and operations; and
-- future capital expenditures.
These statements are based on certain assumptions and analyses made by
White Mountains in light of its experience and perception of historical
trends, current conditions and expected future developments, as well as other
factors believed to be appropriate in the circumstances. However, whether
actual results and developments will conform with its expectations and
predictions is subject to a number of risks and uncertainties that could cause
actual results to differ materially from expectations, including:
-- the failure of the Sirius acquisition to enhance shareholder value;
-- claims arising from catastrophic events, such as hurricanes,
earthquakes, floods or terrorist attacks;
-- the continued availability of capital and financing;
-- general economic, market or business conditions;
-- business opportunities (or lack thereof) that may be presented to it
-- competitive forces, including the conduct of other insurers and
-- changes in domestic or foreign laws or regulations applicable to White
Mountains, its competitors or its clients;
-- an economic downturn or other economic conditions adversely affecting
its financial position;
-- loss reserves established subsequently proving to have been inadequate;
-- other factors, most of which are beyond White Mountains' control.
Consequently, all of the forward-looking statements made in this press
release are qualified by these cautionary statements, and there can be no
assurance that the actual results or developments anticipated by White
Mountains will be realized or, even if substantially realized, that they will
have the expected consequences to, or effects on, White Mountains or its
business or operations. White Mountains assumes no obligation to update
publicly any such forward-looking statements, whether as a result of new
information, future events or otherwise.