ZURICH (AFX) - Converium Holdings AG expects the recently agreed sale of its North American operations to Berkshire Hathaway Inc to result in a full-year book loss of 183 mln usd, chief financial officer Paolo De Martin said.
Speaking to finance newspaper Finanz und Wirtschaft, De Martin said that the loss would be booked during the fourth quarter.
The US business was sold in October for around 295 mln usd, with Converium saying at the time that the divestment would result in a decrease of shareholders' equity of around 135 mln usd.
The move was aimed not least at regaining an 'A' credit rating which would 'substantially' boost new business, de Martin was quoted as saying. Standard & Poor currently rates Converium a 'BBB+'.
Furthermore, De Martin reiterated that Converium expects premium income in 2007 to be at least stable. afx.zurich@afxnews.com at/vs COPYRIGHT Copyright AFX News Limited 2006. All rights reserved. The copying, republication or redistribution of AFX News Content, including by framing or similar means, is expressly prohibited without the prior written consent of AFX News. AFX News and AFX Financial News Logo are registered trademarks of AFX News Limited