June 2003 Syndicate Forecasts
26 August 2003 - 5:02PM
UK Regulatory
RNS Number:0074P
Kiln PLC
26 August 2003
Kiln plc
June 2003 Syndicate Forecasts
R J Kiln & Co Limited, a leading Lloyd's managing agency, today releases its
June 2003 forecasts for the 2001 and 2002 years of account.
Current Trading
Kiln is continuing to experience good trading conditions and is achieving
further rate increases in some specialist areas. Overall, rates continue to be
higher than 2002 levels. Kiln's capacity in the current year is #820m, #156m
higher than in 2002 and the company's net economic interest in this capacity is
#237m.
The forecasts set out below take into account all managing agency and Lloyd's
charges.
2002 year of account forecasts
Capacity Forecast Range Previous forecast
% of Capacity as at March 2003
Syndicate 510 #388m 18.5 to 13.5 17.5 to 10.0
Syndicate 557 #47m 35.75 to 30.75 30.0 to 15.0
Syndicate 807 #63m 20.0 to 15.0 17.5 to 10.0
Syndicate 308 #4m 6.0 to 3.0 5.0 to 0.0
Syndicate 1204 #28m 9.0 to (6.0) 10.0 to (10.0)
The 2002 year of account, which has improved on initial estimates, has benefited
from low loss incidence to date which is reflected in the new improving
forecasts shown. Whilst a significant amount of business remains on risk for
this year, Kiln expects the forecast to improve further if the current level of
loss development continues.
2001 Account forecasts
Capacity Forecast Range (% of Previous forecast as at March
Capacity) 2003
Syndicate 510 #266m 3.25 to (1.75) 2.5 to (2.5)
Syndicate 557 #31m (38.5) to (43.5) (41.0) to (51.0)
Syndicate 807 #45m 8.5 to 3.5 8.5 to 3.5
Syndicate 308 #3m 7.0 to 4.0 9.0 to 6.0
Syndicate 1204 #23m (26.5) to (31.5) (18.0) to (33.0)
The 2001 year of account continues to develop in line with expectations, with no
change in loss estimates relating to the World Trade Center. Of the three
syndicates involved in the World Trade Center loss (namely 510, 557 and 807)
Syndicates 510 and 557 are forecasting an improved result overall, with
Syndicate 807 predicting a very strong result, one of the best in the Lloyd's
market.
The management of Syndicate 1204 was assumed by Kiln in late 2001 and Kiln is
only responsible for the 2000 account onwards.
Edward Creasy, Chief Executive Officer, Kiln plc, commented:
" These results show an even better performance for our 2002 year of account
than we originally forecast which is having a positive impact on financial
results this year.
" With buoyant rates continuing and Kiln participating in new ventures such as
W. R. Berkley (Europe) Ltd, the outlook for Kiln remains excellent."
26 August 2003
Enquiries:
Kiln Tel: 020 7886 9000
Edward Creasy, Chief Executive Officer
Peter Haynes, Chief Financial Officer
College Hill Tel: 020 7457 2020
James Henderson 07774 444163
This information is provided by RNS
The company news service from the London Stock Exchange
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