ISS, Glass Lewis and Ethos recommend approval of all tabled AGM
proposals of Converium
Zug, Switzerland - April 27, 2007 - Converium welcomes ISS, Glass
Lewis and Ethos recommendations of approval of all tabled AGM
proposals
Converium welcomes the recommendations of Institutional Shareholder
Services (ISS), which has recommended that shareholders approve all
seven tabled proposals at the Company's Annual General Meeting (AGM),
scheduled for May 10, 2007. All agenda items have been scheduled by
Converium.
Amongst the proposals to be voted on at the AGM, ISS recommends
approval of a reduction of the par value of Converium's registered
shares from CHF 5 to CHF 2.50, with the subsequent payment expected
to be made to shareholders by mid-July 2007. ISS acknowledges the
potential to return capital to shareholders and better leverage
Converium's balance sheet through the issuance of USD 500 million of
hybrid debt, as part of the Company's road map aimed at generating a
sustainable 14% return on equity by 2009.
ISS further states that none of the voting resolutions at Converium's
AGM relate to SCOR's bid.
The recommendation of ISS is in line with those of Glass Lewis & Co.,
which also endorses all seven tabled AGM proposals. ISS and Glass
Lewis are independent providers of proxy voting advice to the
international investment community. The leading advisor in
Switzerland on sustainable development principles and corporate
governance best practice in investment activities, Ethos, Swiss
Foundation for Sustainable Development, equally endorses all
proposals.
Enquiries
Beat W. Werder Marco Circelli
Head of Public Relations Head of Investor Relations
beat.werder@converium.com marco.circelli@converium.com
Phone: +41 44 639 90 22 Phone: +41 44 639 91 31
Fax: +41 44 639 70 22 Fax: +41 44 639 71 31
Dr. Kai-Uwe Schanz Inken Ehrich
Chief Communication & Corporate Investor Relations Specialist
Development Officer inken.ehrich@converium.com
kai-uwe.schanz@converium.com Phone: +41 44 639 90 94
Phone: +41 44 639 90 35 Fax: +41 44 639 70 94
Fax: +41 44 639 70 35
For information regarding voting at the AGM, please contact our proxy
solicitors, HQB Partners Limited at + 44 (0)20 7621 1351.
About Converium
Converium is an independent international multi-line reinsurer known
for its innovation, professionalism and service. Today Converium
employs about 500 people in 15 offices around the globe and is
organized into three business segments: Standard Property & Casualty
Reinsurance, Specialty Lines and Life & Health Reinsurance. Converium
has an "A-" ("strong") financial strength rating (outlook stable)
from Standard & Poor's and a "B++" financial strength rating (outlook
positive) from A.M. Best Company.
Important Disclaimers
This document contains forward-looking statements as defined in the
U.S. Private Securities Litigation Reform Act of 1995. It contains
forward-looking statements and information relating to the Company's
financial condition, results of operations, business, strategy and
plans, based on currently available information. These statements are
often, but not always, made through the use of words or phrases such
as 'seek to', 'expects', 'aims' 'should continue', 'believes',
'anticipates', 'estimates' and 'intends'. The specific
forward-looking statements cover, among other matters, the Company's
strategy and management objectives, our return on equity and our
plans to use capital more efficiently and to return capital to
shareholders. Such statements are inherently subject to certain
risks and uncertainties. Actual future results and trends could
differ materially from those set forth in such statements due to
various factors. Such factors include whether we are able to secure
an upgrade of our financial strength ratings; our ability to
refinance our outstanding indebtedness and increase our use of hybrid
capital; uncertainties of assumptions used in our reserving process;
risk associated with implementing our business strategies and our
capital improvement measures; cyclicality of the reinsurance
industry; the occurrence of natural and man-made catastrophic events
with a frequency or severity exceeding our estimates; acts of
terrorism and acts of war; changes in economic conditions, including
interest and currency rate conditions that could affect our
investment portfolio; actions of competitors, including industry
consolidation and development of competing financial products; a
decrease in the level of demand for our reinsurance or increased
competition in our industries or markets; our ability to expand into
emerging markets; our ability to enter into strategic investment
partnerships; a loss of our key employees or executive officers
without suitable replacements being recruited within a suitable
period of time; our ability to address material weaknesses we have
identified in our internal control environment; political risks in
the countries in which we operate or in which we reinsure risks; the
passage of additional legislation or the promulgation of new
regulation in a jurisdiction in which we or our clients operate or
where our subsidiaries are organized; the effect on us and the
insurance industry as a result of the investigations being carried
out by the US Securities and Exchange Commission, New York's Attorney
General and other governmental authorities; our ability to regain
past customers following any rating upgrades and the resolution of
the investigations being carried out by the US Securities and
Exchange Commission, New York's Attorney General and other
governmental authorities; changes in our investment results due to
the changed composition of our invested assets or changes in our
investment policy; failure of our retrocessional reinsurers to honor
their obligations or changes in the credit worthiness of our
reinsurers; our failure to prevail in any current or future
arbitration or litigation; and extraordinary events affecting our
clients, such as bankruptcies and liquidations, and other risks and
uncertainties, including those detailed in the Company's filings with
the U.S. Securities and Exchange Commission (including, but not
limited to, our Annual Report on Form 20-F filed with the U.S.
Securities and Exchange Commission) and the SWX Swiss Exchange. The
Company does not assume any obligation to update any forward-looking
statements, whether as a result of new information, future events or
otherwise.
