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(From Reinsurance)
CIGNA Corporation has reported that it has received an adverse ruling from a London arbitration panel concerning a dispute over a retrocessional reinsurance arrangement related to a portion of its run-off workers' compensation reinsurance business written in the London market. This ruling resulted in a $14m after-tax charge.
Because the ruling relates to an exposure that existed at 31 December 2005 and the company has not yet filed its 2005 financial statements, it is considered a subsequent event under generally accepted accounting principles that must be recorded in the company's 2005 financial ...