Greenwich Group - Syndicate News

ACE London Underwriting Ltd

	21 July 1999	ACE make Auction Offer ACE Capital Limited is to make an announced Auction Offer in Auction 3 to acquire all of the rights to participate on Syndicate 488 for the year 2000 which it does not already own. Lloyd's have indicated that in the event that it may approve the merger of Syndicates 488, 219 and 960 into 2488 for year 2000, such approval will not become effective until after Auction 3 has concluded, in order to allow the announced Auction Offer to be made and completed.
	30 June 1999	ACE merger proposals - Year 2000 ACE had put forward the merger of Syndicates 488, 219 and 960 into 2488. However, in respect of Syndicate 488, only 71.51% voted in favour and Lloyd's have therefore agreed that members should be given a further opportunity to express their opinion by way of a postal ballot by the 22nd July. ACE have made the terms for the merger more favourable by undertaking (if the merger is approved):- To reduce the profit commission payable from 17.5% to 15%; not to implement a minority buy-out until 2002 for the 2003 year of account; and not to increase the annual fee pro-rata to growth in premium income or capacity.
	04 June 1999	ACE merger vote fails ACE Global Markets final voting position concerning these four Syndicates, held on 27th May, was as follows:- Syndicate % of votes cast in favour 960 - 99.35% 219 - 99.97% 488 - 71.15% 2488 - 100.00% Therefore, with the exception of Syndicate 488 capacity, voting was overwhelmingly in favour of the merger. However, because the Syndicate 488 vote did not achieve a minimum acceptance level of 75%, the entire merger is effectively blocked. Despite this, anecdotal evidence suggests that ACE is likely to make representations to Lloyd's pressing the case that the 71.15% vote should be a sufficiently large majority to successfully carry through the merger.
	02 December 1998	Two leave Ace ACE have announced the departure of Roger Field (underwriting director) and Richard Finn (active underwriter syndicate 219). Simultaneously they have announced the promotion of Andrew Kendrick to active underwriter of syndicate 219 and Stuart Wright as director of underwriting for Lloyd's operations; both appointments are subject to Lloyd's approval. Additionally, a new management team comprising these two individuals, Richard Pryce of ACE Underwriting Services and David Furby, a treaty underwriter, has been established for ACE Non-marine.