SCOR’s 2005 net income increases 75%

Aided by investment income, SCOR reported its net income for 2005 has increased 75% over 2004. “Net income after tax for 2005 amounted to EUR131 million ($US158.2 million), compared to EUR75 million (US$90.6 million) in 2004, representing an increase of 75%,” the company announced in a press release. “This demonstrates the solidity of the global technical income throughout a year marked by historic natural catastrophes.”The company noted this result “benefited from an increase in investment income due to a more active investment management policy,” and from “the write-back of a provision for amortization of deferred tax assets for the Group in France, which became unnecessary given the restored profitability of the Group.”The company reported its 2005 combined ratio for non-life business was 102.8% excluding CRP, or 106.5 % including CRP. The company said the impact of major natural catastrophes on the combined ratio for non-life business accounted for a 12-point difference over 2004.”Despite an environment marked by historic natural catastrophes, SCOR has seen its profitability level increase significantly,” Denis Kessler, SCOR’s chairman and CEO, said. “Net income at EUR 131 million is up 75%, and net income per share has increased by 59%. A dividend of 5 Euro centimes per share will be proposed at the General Meeting.”Kessler said the company’s results “confirm the pertinence of the strategic choices made three years ago, notably the decision to follow a prudent and diverse underwriting policy centred on the markets and lines of business which the Group knows well. 2005 demonstrated the balance achieved between life and non-life reinsurance, as well as the reorientation of our business towards Europe and Asia.”