Europe Intelligence Wire articles from March 2006

Europe Intelligence Wire archives from March 2006

Editorial - Six easy steps to ruin.
March 1, 2006... (From Reinsurance) Byline: Mark Geoghegan, editor. Dear Friend, Now that the renewal season presentations are almost all in, let me run these six quotes past you - note that these are not my words, but those of the captains of...

News - 2005 hurricane season strengthens US property market.
March 1, 2006... (From Reinsurance) US property insurance rates increased sharply in the fourth quarter of 2005 following the devastating hurricane season, according to the RIMS Benchmark Survey. Reversing a two-year trend of steadily falling property...

News - Validus Re hits the ground running.
March 1, 2006... (From Reinsurance) New Bermudian reinsurer Validus Re has announced that it has bound business representing gross written premiums of $220m after only operating a month. Validus Re, which is a part of the new class of 2005 that rapidly...

News - Everest $218m into red in 2005.
March 1, 2006... (From Reinsurance) A 12.3% drop in net premiums, combined with massive fourth-quarter hurricane losses, have forced Bermudian (re)insurer Everest Re to report a combined ratio of 120% and a 3.1% fall in shareholders' funds for 2005. ...

News - Ace survives 2005 with healthy profit.
March 1, 2006... (From Reinsurance) Ace has posted a profit of $1bn in net income for the year 2005, despite the fact that it was hit by substantial losses from the intense hurricane season. The company saw net income fall slightly from the $1.15bn it...

News - Marsh launches avian flu survey.
March 1, 2006... (From Reinsurance) Broker Marsh and its sister company Kroll, the risk-consulting company, has launched an online global survey to help businesses, government entities, educational institutions, and other organisations evaluate their...

News - Advent sees US property/catastrophe rates double.
March 1, 2006... (From Reinsurance) In a bullish trading statement, Lloyd's property/catastrophe specialist Advent has pointed to rate increases across all key accounts, and has reported exposed US property/catastrophe rate increases of up to 100%. ...

News - Lloyd's in Central Fund legal action against brokers.
March 1, 2006... (From Reinsurance) On 14 March last year, Lloyd's reached a settlement with the six insurers involved with the arbitration proceedings on the Central Fund insurance, but reserved the right to pursue others involved in the placement of the...

News - PartnerRe takes $900m 2005 catastrophe losses in its stride.
March 1, 2006... (From Reinsurance) Bermudian (re)insurer PartnerRe has reported an operating loss of $242.6m for the year ended 31 December 2005, including an estimated $900m in natural-disaster losses and $511m for Hurricane Katrina alone. The...

News - Massive Wilma hit pushes RenRe to first-ever loss.
March 1, 2006... (From Reinsurance) Bermudian (re)insurer RenaissanceRe has reported a fourth-quarter net operating loss of $206.9m, due mainly to a $313.9m net negative impact from Hurricane Wilma. These results compared to a net operating income of...

News - XL Capital results hit by 2005 windstorms.
March 1, 2006... (From Reinsurance) XL Capital has reported a net loss of $821.9m for the quarter ended 31 December 2005, compared with net income of $288m for the same period of 2004. Net loss for the quarter ended 31 December 2005 included net losses...

News - Axis Capital sees profits fall.
March 1, 2006... (From Reinsurance) Axis Capital Holdings has reported a net income of $90.1m for the year ended 31 December 2005, compared with a net income of $495m for the year ended 31 December 2004. Net income available to common shareholders for the...

News focus - Misconduct investigations agreement.
March 1, 2006... (From Reinsurance) US state and federal regulators have announced agreements to resolve pending litigation and investigations of fraud, bid-rigging and improper accounting by American International Group (AIG). Under the agreements,...

News focus - Fitch issues revised AIG ratings in light of settlement.
March 1, 2006... (From Reinsurance) Fitch Ratings has said that its ratings on AIG and AIG subsidiaries, including American General Finance Company (AGF) and International Lease Finance Corporation (ILFC), remain on Rating Watch Negative. Fitch views...

News focus - Gallagher hit by continued contingent commission issues.
March 1, 2006... (From Reinsurance) Brokerage company Arthur J Gallagher has seen its profits slump over 2005 in the wake of the backlash against contingent commissions. The company reported that its profits for 2005 were just $30.8m, down 83.7% on the...

News focus - Asian focus for new Lloyd's report.
March 1, 2006... (From Reinsurance) Lloyd's has released new research giving the insurance industry clear guidance on key developments in Asia. The research, entitled 'New Openings - quantifying opportunities in Asia', earmarks four specialist classes...

News focus - US Grand Jury indicts ex-AIG executives by.
March 1, 2006... (From Reinsurance) A federal grand jury in Norfolk, Virginia, US has indicted three former senior executives of General Re Corporation (Gen Re) and one former senior executive of American International Group (AIG) on charges relating to a...

News focus - TRIA renewal is not a long-term solution, claims panel.
March 1, 2006... (From Reinsurance) The recent move by Congress to extend the Terrorism Risk Insurance Act (TRIA) did not provide the industry with the long-term solution it needs. That's the assessment of experts participating in a recent web seminar...

News focus - Lloyd's pulls plug on multi-million Kinnect deal.
March 1, 2006... (From Reinsurance) Lloyd's has decided to withdraw funding for the Kinnect programme after a review.In a statement, the Lloyd's Franchise Board said it had decided the platform was not optimal in ensuring more efficient business processes...

News Analysis - Why this 'weatherproof' market will be all-out soft before the year's end.
March 1, 2006... (From Reinsurance) Well, the fourth quarter numbers are almost all out, and there are precious few surprises - and what few there are have been largely on the positive side. Yes, it was a bad year for catastrophe underwriters, but this...

Rethink - Not enough time for depression.
March 1, 2006... (From Reinsurance) For most people, January is the most depressing month of the year: it's cold and dark, unlit by the bright lights of Christmas and the New Year, which are fast receding into the background while spring is only a glimmer...

Inside View - The challenge of agreeing to contracts at placement.
March 1, 2006... (From Reinsurance) A quiet revolution is underway in North America as cedents and assumers of reinsurance risk reverse a business process that has existed for decades. The traditional approach to reinsurance contracts was 'deal now,...

Inside view - Why Lloyd's should be encouraging new Names, not abolishing them!
March 1, 2006... (From Reinsurance) In Lloyd's' recent strategic plan, 'Building the Optimal Platform', there is a proposal to review continuing the annual venture on the grounds of inefficiency and expense. Although the annual venture scarcely affects...

Interview - Meet the chiefs of two new Bermuda start-ups.
March 1, 2006... (From Reinsurance) Richard Brindle does not want any of the executives in his new company to get soft, travel first-class, stop making the coffee or lose any of the "Wild West" feeling he has experienced since setting up. He just set up...

Technical report - Emerging perils: seven things you should be worried about.
March 1, 2006... (From Reinsurance) Scientists often get very excited about new discoveries and inventions. Words like 'miracle' and 'ground-breaking' tend to be flung about with abandon. (Re)insurers tend to hear this, sigh a great deal and wait for the...

Briefing - How does Bermuda really work?
March 1, 2006... (From Reinsurance) So why go to Bermuda? Several new reinsurance ventures have been established in Bermuda over the past year, ranging from 'sidecars' of existing businesses to new operations set up by Amlin and Hiscox. The key...

Briefing - When should you try your hand at baseball arbitration?
March 1, 2006... (From Reinsurance) Originally used for determining baseball players' salaries, 'baseball arbitration' (as it is now called) offers advantages if used in the right circumstances, but it is neither without risk nor for the faint-hearted. ...

Life reinsurance - Life looks to Europe and Asia for the next generation of growth.
March 1, 2006... (From Reinsurance) Life reinsurance has experienced phenomenal growth over the last decade, driven largely by increased cession rates in the US and UK markets. As this growth levels off, and cession rates peak, Mark Geoghegan asks the...

Country profile: The Baltic States - Your passport to Baltic bliss.
March 1, 2006... (From Reinsurance) The Baltic States of Estonia, Latvia and Lithuania are located in northeast Europe on the Baltic Sea, neighbouring Finland, Belarus and Russia. Former Communist countries, albeit 'soft' ones, the states joined the...

London Market - How can London and Lloyd's avoid going into terminal decline?
March 1, 2006... (From Reinsurance) Times change, needs shift, competitors appear and it's no great surprise therefore that no brand or market is everlasting. The subscription market has evolved gradually over the past 300 years, but the product itself has...

Legal - Broker remuneration: are you avoiding the pitfalls?
March 1, 2006... (From Reinsurance) This article highlights the legal and regulatory issues that arise in this developing area, the extent to which issues still remain unresolved by the English courts, and how the parties involved can seek to circumvent...

Re-sume - The 'midnight cowboy'.
March 1, 2006... (From Reinsurance) Ross started his career in Brisbane, Australia in 1962 with a small broker, Noble Hall. The company was acquired by Stenhouse later that year, marking the start of a chain of acquisitions. Stenhouse merged with Reed Shaw...

Re-sume - Recruitment moves.
March 1, 2006... (From Reinsurance) Five appointments to the Council of Lloyd's have been made following the Council elections, which closed on 20 January 2006. Further to a ballot of the working members of the Society, Ewen Gilmour, chief executive of...

Diary - Reinsurance Diary.
March 1, 2006... (From Reinsurance) MARCH 2006 4-7: NAIC Spring Meeting - Walt Disney World, Dolphin Hotel, Orlando, US +1 (816) 783 8100 www.naic.org/meetings/home htm www.naic.org 7-8: Association of Run-off Companies - Congress Merchant...

DP World expects P'O deal approval.
March 1, 2006... (From Lloyds List) Byline: Controversial acquisition set to be endorsed tomorrow, writes Christopher Mayer in Dubai DUBAI-headquartered port operator DP World is confident that its $6.5bn purchase of the UK's P'O will be endorsed by...

BW sets China VLCC order record.
March 1, 2006... (From Lloyds List) THE Sohmen family's BW Group has taken this week's spending to almost $700m with an order for two VLCCs in China, writes Tony Gray . BW, which houses the family's Bergesen and World-Wide Shipping interests, has...

Bergesen Worldwide Gas taps into expanding new markets.
March 1, 2006... (From Lloyds List) Byline: New role as sector specialist proves a shrewd move, writes Jerry Frank NORWAY'S Bergesen Worldwide Gas has lifted a $43m fourth quarter pre-tax profit and left behind a $59m loss booked a year earlier as...

Heritage has new leading shareholder.
March 1, 2006... (From Lloyds List) HERITAGE Underwriting Agency has a new leading shareholder, on Houston Casualty acquiring a 23% stake, writes James Brewer. The shareholding in the Lloyd's managing agency was sold by investment company Perseverance...

IMC Pan Asia plans LNG shipyard investment to meet Chinese demand.
March 1, 2006... (From Lloyds List) IMC PAN Asia Alliance is in talks to invest in liquefied natural gas shipbuilding in China, to meet the demand for newbuildings from the country's planned LNG projects, writes Marcus Hand in Singapore. 'In the whole...

US Coast Guard rebuffs security concerns.
March 1, 2006... (From Lloyds List) THE US Coast Guard has rejected a claim by politicians that it had raised 'concerns' about DP World's potential support for terrorism, stating that the so-called revelations were 'taken out of context' and ignored the...

Advent back in form after last year's gloomy figures.
March 1, 2006... (From Lloyds List) Byline: Managed syndicate set to report major loss for 2005, writes James Brewer LLOYD'S business Advent is heading for a big 2005 loss at its managed syndicate 780 but sees a good chance of profits in 2006. A...

RBS looks for buyback after strong results.
March 1, 2006... (From Lloyds List) ROYAL BANK of Scotland, which has substantial ship finance and insurance interests, has accompanied strong full-year results with an increase in dividend and plans for a GBP1bn ($1.7bn) share buy-back, writes Tony Gray....

OSG still singing the blues despite profits being in tune.
March 1, 2006... (From Lloyds List) Byline: Rajesh Joshi in New York A LARGER annual net profit on the back of a bigger fleet could not mute market blues at Overseas Shipholding Group as timecharter equivalent rates on the tanker giant's bigger ships...

Chubb's new pitch to the world's super-rich.
March 1, 2006... (From Lloyds List) LLOYD'S has strengthened its services to the superwealthy, with one of the top underwriting groups announcing a pitch for ultra high net worth personal lines business from a Lloyd's box, writes James Brewer. Chubb...

Business Briefing.
March 1, 2006... (From Lloyds List) Pan Ocean debut SOUTH Korean shipping company STX Pan Ocean has succeeded in its tender to operate Phase 3-1 container terminal at the country's Kwanyang port, writes Mike Grinter in Hong Kong. STX Pan Ocean and...

MAN engine unit to adopt SE legal form.
March 1, 2006... (From Lloyds List) GERMAN industrial group MAN is to convert its diesel engine unit MAN B'W Diesel AG into the legal form of a European Company (SE) this year, writes Katrin Berkenkopf in Cologne. The division, which is the world's...

Sally Noel bid to bring Lloyd's 'fraud' case quashed.
March 1, 2006... (From Lloyds List) Byline: Judges rule out replay of issues, writes James Brewer APPEAL Court judges have quashed an attempt by Sally Noel, one of the harshest critics of the conduct of Lloyd's leadership in the 1980s, to bring a case...

Kursiu Linija launches Ahus lo-lo link.
March 1, 2006... (From Lloyds List) LITHUANIAN shortsea operator Kursiu Linija has continued its regional expansion with a new service between the Swedish container port Ahus and Germany's Bremerhaven and Hamburg, writes Jerry Frank. The lo-lo link...

Seacor and Trico give strong support.
March 1, 2006... (From Lloyds List) HIGH demand for offshore support vessels boosted revenues and income for Seacor Holdings and Trico Marine Services, writes Martyn Wingrove. The two New York-listed companies have seen their profits growing as...

MC Shipping expands LPG carrier fleet.
March 1, 2006... (From Lloyds List) AN UPBEAT MC Shipping is expanding the company's fleet of liquefied petroleum gas carriers and has renewed charters on two vessels at substantially improved rates, writes Tony Gray. ASE-listed MC Shipping has agreed...

Centrica will focus on floating upstream by acquiring new offshore assets.
March 1, 2006... (From Lloyds List) CENTRICA will focus on growing its upstream gas production business this year by acquiring new offshore assets to offset declines in older UK fields, writes Martyn Wingrove. The British gas producer is investing in...

V.Ships and CSCL form Shanghai box partnership.
March 1, 2006... (From Lloyds List) V.SHIPS (Asia) MSI and China Shipping Container Lines have teamed up to form a new company to manage four 9,600-teu containerships, writes Janet Porter. The company, China International Ship Management, will be based...

Smedvig takes on management of SeaDrill's newbuild rigs.
March 1, 2006... (From Lloyds List) SMEDVIG has taken over management and marketing of SeaDrill's four semi-submersibles being built in Singapore and South Korea, writes Martyn Wingrove. The Norwegian drilling contractor will supervise the construction...

Bigger ships and faster turnarounds lift 2005 Rotterdam bunker supply.
March 1, 2006... (From Lloyds List) THE evolution of ship sizes and increasingly fast turnaround times have contributed to a marginal increase in bunker supply at the Port of Rotterdam in 2005, writes Neville Smith. Figures released by Rotterdam...

Bulging offshore orderbook bolsters SembCorp's bottom line.
March 1, 2006... (From Lloyds List) Byline: Contractors flock to Singapore yards for rig newbuilds, writes Martyn Wingrove SURGING demand for newbuild drilling rigs and offshore units boosted SembCorp Industries' orderbook and sent its net profits to...

Aframax rates hit 'six-month low'.
March 1, 2006... (From Lloyds List) Byline: Nigel Lowry in Athens Tankers IT'S officially quiet in most tanker markets right now and aframax tonnage is no exception. No broker needs to feel shunned by friends and customers at a moment when...

Oslo listing for DNO bond issue.
March 1, 2006... (From Lloyds List) DET Norske Oljeselskap has secured a new NKr1bn ($148.2m) loan agreement from Norsk Tillitsmann and has applied to list the bond loan on the Oslo stock exchange, writes Martyn Wingrove. Norwegian oil group DNO will...

Tanker Fixtures.
March 1, 2006... (From Lloyds List) CLEAN Yosu to Singapore Rabindranath Tagore, 30,000t, $430,000 lumpsum Feb 28. (Alpine) Kharg to Mohammedia Meltemi, 130,000t, $2,600,000 lumpsum Mar 11. (Nico) Middle East Gulf to Durban Alliance vessel to...

Dry Bulk Fixtures.
March 1, 2006... (From Lloyds List) COAL Haypoint to Kwang Yang vessel to be nominated, 150000t, $13.12 per tonne, fio scale'35000sc, Mar 15-25. (Posco Engineering) Ponta da Maderia to Taranto Silver Clipper, 150000t, $12.00 per tonne, fio...

Panamaxes hold steady in dull trading.
March 1, 2006... (From Lloyds List) Dry Trade WITH panamax rates losing some of their recent gains last week, the fact that this week has opened on a stable note might be considered mild good news, writes Nigel Lowry in Athens. In fact, brokers...

A lot of hot air, or is Skysails the next big thing in green shipping?
March 1, 2006... (From Lloyds List) THERE was clearly a lack of wind on the Hamburg museum ship Cap San Diego but not of ideas on how to make use of this natural power. At a rather cramped reception, two companies celebrated what they hope will be the...

Gorilla in the midst of rig row that sent insurers ape.
March 1, 2006... (From Lloyds List) Byline: Liability on a foreign claim is tricky issue for the English courts, writes Robin White The case of Enterprise Oil Limited v Strand Insurance Company Ltd (judgment dated January 26, 2006) raised the difficult...

Criminal and unfair.
March 1, 2006... (From Lloyds List) It won't happen, of course, but just imagine what might occur if, on account of their disgraceful treatment by society, seafarers throughout the world stopped their ships for two days. And if they withdrew their services...

Foundation degree will provide for additional 'on-the-job' learning at sea.
March 1, 2006... (From Lloyds List) Byline: From Capt Nigel Palmer Letters To The Editor I REFER to the letter from C R Kelso (Lloyd's List February 16) and would like to comment further in response to some of the points he raises regarding the...

Gulf between teaching fundamentals and experiencing them.
March 1, 2006... (From Lloyds List) Byline: Richard Woodman Quarterpoints ALTHOUGH he was only master of the Otago for a short period, I think that his sea-time in sail and especially his service as chief mate aboard the smart, fast and well-known...

STX denies interest in Daewoo yard.
March 1, 2006... (From Lloyds List) SOUTH Korea's STX Corp has denied press reports that it plans to make a bid for Daewoo Shipbuilding ' Marine Engineering, the world's second largest shipbuilder and a fierce rival of STX Corp affiliate STX Shipbuilding....

Thailand's RCL enjoys its best-ever year.
March 1, 2006... (From Lloyds List) Byline: Marcus Hand in Singapore THAILAND'S Regional Container Line enjoyed its best ever year in 2005 although the fourth quarter showed signs of slowdown. The intra-Asian and feeder operator reported a net...

Zhen Hua revives Banten port plans.
March 1, 2006... (From Lloyds List) HONG Kong-based Zhen Hua Engineering has registered its interest in developing and operating a seaport in Indonesia's Banten province, writes Mike Grinter in Hong Kong. Reports cited Sea Transportation director...

Hard-hit NOL says market can only get tougher.
March 1, 2006... (From Lloyds List) Byline: High fuel costs hit last year's profits hard and the company sees a rough ride ahead, writes Marcus Hand in Singapore NEPTUNE Orient Lines' profits dropped 15% last year, hit by higher fuel costs, and it...

STX Pan Ocean steps into chemicals.
March 1, 2006... (From Lloyds List) Byline: Mike Grinter in Hong Kong SOUTH Korea's STX Pan Ocean has taken a giant step towards business diversification with the launch of two petrochemical product carriers built by its affiliate STX Shipbuilding. ...

Ningbo in talks to expand Zhoushan facilities.
March 1, 2006... (From Lloyds List) NINGBO Port Group is planning a Yuan10bn ($1.23bn) expansion of its newly combined port facilities at Zhoushan in Zhejiang province, writes Keith Wallis in Hong Kong. The state-owned firm's vice president, Wang...

If you plan to invest in the US, learn how it works.
March 1, 2006... (From Lloyds List) Byline: DP World's troubled $6.8bn acquisition of P'O could have significant repercussions for international mergers, write Jeanne Archibald , John Pheasant and Jeremy Zucker The proposed acquisition of P'O by DP...

Hong Kong port scraps paper manifests.
March 1, 2006... (From Lloyds List) Byline: Keith Wallis in Hong Kong CARRIERS using Hong Kong port will have to submit ocean and river cargo manifests electronically from mid-June when the government outlaws paper documents. This follows the...

World Briefing.
March 1, 2006... (From Lloyds List) Saddam back in court BOMBS killed at least 30 people in Baghdad and wrecked the tomb of Saddam Hussein's father as the ousted leader was in court for the first time since days of sectarian violence pitched Iraq...

Navamar trumps Verreault for control of Davie Industries.
March 1, 2006... (From Lloyds List) Byline: A small shipyard specialising in repairs is the surprise choice of bankruptcy trustees, writes Leo Ryan in Montreal Bankruptcy trustees have chosen a small shipyard specialising in repairs to purchase Davie...

Last Word.
March 1, 2006... (From Lloyds List) easyCruise addition We gather that easyCruise has appointed Paul Ellerby, former UK managing director of Costa Cruise Lines, as interim sales and marketing director pending the appointment of a chief executive for...

GUERNSEY RECEIVES FIRST RAMSER DESIGNATION.
March 1, 2006... (From Government News Network (Was Hermes-Government Press Releases)) ] DEPARTMENT FOR ENVIRONMENT, FOOD AND RURAL AFFAIRS ref :87/06 28 February 2006 GUERNSEY RECEIVES FIRST RAMSAR DESIGNATION Guernsey is celebrating the designation...

Timeline: Liverpool city council's troubles.
March 1, 2006... (From Guardian Unlimited) January 2006 The Liverpool council chief executive, Sir David Henshaw, announces he will retire in March. The move follows a high-profile battle for control of the city between Sir David and the council's...

Feature: Positive linking.
March 1, 2006... (From Guardian Unlimited) English local authorities are overstating their progress in developing websites, according to the eighth annual survey by the Society of IT Management (Socitm), published today. Although Socitm's 2006 Better...

Literary footballing combos.
March 1, 2006... (From Guardian Unlimited) "I'm sure I heard a radio feature recently that claimed a Hearts squad in the 1990s boasted players called Holmes, Watson and Moriarty!" declares Daryl Vodden, "Is this true? And are there any other examples of...

Chechnya's Prime Minister Resigns.
March 1, 2006... (From The Moscow Times) Chechnya's Kremlin-appointed prime minister, Sergei Abramov, submitted his resignation on Tuesday, clearing the way for his widely feared deputy, Ramzan Kadyrov, to succeed him. Kadyrov, the 29-year-old head of...

A Rare Summit of Discontent in the Altai.
March 1, 2006... (From The Moscow Times) BELOKURIKHA, Altai Region -- More than 200 people gathered in the foothills of the Altai Mountains last weekend for a Russian version of the Davos economic forum as state pressure grows on its outsider organizers,...

Don't Worry, Just Stock Up on Lots of Salt.
March 1, 2006... (From The Moscow Times) On May 17, 1896, Muscovites began to gather on Khodynskoye Pole, where a lavish program of entertainment was planned to celebrate the coronation of Emperor Nicholas II. By 5 a.m. on May 18, several hundred thousand...

Berezovsky Warned Over Asylum Status.
March 1, 2006... (From The Moscow Times) British Foreign Secretary Jack Straw has warned Boris Berezovsky that he might lose his refugee status if he continues to call for the overthrow of President Vladimir Putin. Straw's warning, made in a statement...