Business
Results of Operations for the Six Months Ended June 30, 2019 - American Overseas Group Limited announces Net Loss Of $3.8 Million and Operating Loss of $7.8 Million For the Six Months Ended June 30, 2019
Results of Operations for the Six Months Ended June 30, 2019 - American Overseas Group Limited announces Net Loss Of $3.8 Million and Operating Loss of $7.8 Million For the Six Months Ended June 30, 2019.
About this update from American Overseas Group Limited
[{"type":"text","content":"\n HAMILTON, Bermuda, Sept. 23, 2019 (GLOBE NEWSWIRE) -- American Overseas Group Limited (BSX:  AOREF.BH) (Pink Sheets:  AOREF.PK) (“AOG” or the “Company”) today reported consolidated net loss available to common shareholders of $3.8 million, or $82.18 per diluted share, for the six months June 30, 2019.  This compares to consolidated net loss available to common shareholders of $2.4 million, or $51.30 per diluted share, for the six months ended June 30, 2018. The results for the six months was driven by losses in the Company’s financial guaranty segment related to commuted policies and Puerto Rico related credits.  Book value per share at June 30, 2019 was $1,186.27, a decline from the book value per share of $1,212.83 at December 31, 2018.  For the six months ended June 30, 2019, the Company had an operating loss of $7.8 million, or $169.26 per diluted share, compared to an operating loss of $1.5 million, or $32.4 per diluted share for the six months ended June 30, 2018.  Operating income for the property and casualty segment in 2019 was $1.7 million, compared to the $1.4 million operating income in 2018 for this segment.  The financial guaranty segment had operating losses of $9.8 million for 2019, compared to operating losses of $2.6 million for 2018.  Net earned property and casualty premiums increased $2.5 million from $1.4 million in 2018 to $3.9 million in 2019, driven by the addition of new agency relationships.  Loss and loss adjustment expenses as a percentage of earned premiums improved from 67.2% to 25.1% driven by both current and prior accident year results.  Fee income increased from $6.0 million to $6.1 million, while operating expenses for property and casualty decreased from $4.7 million to $4.5 million.  Overall operating income improved 29.1% from $1.4 million to $1.7 million within property and casualty. The legacy financial guaranty portfolio of American Overseas Reinsurance Company Limited (“AORE”) continues to run-off within expectations.  The financial guaranty operating loss of $9.8 million in 2019 is driven by net losses associated with the commutation of $1.065 billion of outstanding par during the second quarter of 2019, as well as unfavorable development on outstanding losses.  As of June 30, ...