Business
Results of Operations for the Year Ended December 31, 2017 - American Overseas Group Limited Announces Net Loss Of $10.6 Million and Operating Loss of $20.8 Million For The Year Ended December 31, 2017
Results of Operations for the Year Ended December 31, 2017 - American Overseas Group Limited Announces Net Loss Of $10.6 Million and Operating Loss of $20.8 Million For The Year Ended December 31, 2017.
About this update from American Overseas Group Limited
[{"type":"text","content":"\nHAMILTON, Bermuda, June 22, 2018 (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 $10.6 million, or $233.62 per diluted share, for the year ended December 31, 2017.  This compares to consolidated net loss available to common shareholders of $7.5 million, or $169.14 per diluted share, for the year ended December 31, 2016.\n The results for 2017 were impacted by unrealized gains in credit derivatives of $8.1 million, and include fair value adjustments of $1.0 million related to the business combination accounting from the combination of Orpheus Group Ltd. and AOG in 2013, when the entities came under common voting control.  Book value per share at December 31, 2017 was $1,308.58, a decline from the book value per share of $1,530.98 at December 31, 2016. For the year ended December 31, 2017, the Company had an operating loss of $20.8 million, or $456.94 per diluted share, compared to an operating loss of $14.6 million, or $328.90 per diluted share for the year ended December 31, 2016.  Operating income for the property and casualty segment in 2017 was $1.1 million, compared to the $3.0 million operating income in 2016 for this segment.  The financial guaranty segment had operating losses of $24.1 million in 2017, largely driven by losses from the Company’s reinsurance of Puerto Rico-related credits. Gross property and casualty premiums written, which are the primary driver of the Company’s fee income, were $422.0 million for 2017 compared to $426.3 million for 2016.  Fees earned by the Company’s management companies were $13.4 million for 2017 compared to $14.2 million for 2016 before intercompany consolidation eliminations with their regulated affiliates.  Net earned property and casualty premiums were $3.5 million for 2017 and compares to $3.6 million for 2016.  There was an overall decrease for the property and casualty segment, from operating income of $3.0 million in 2016 to operating income of $1.1 million in 2017, driven primarily by underwriting results. The legacy financial guaranty portfolio of American Overseas Reinsurance Company Limited, excluding the Company’s exposure to Puerto Rico credits, conti...