Pension buyout firm Paternoster warns on Q4 (Legal & General Grou)

Date : 10/15/2008 @ 7:56AM
Source : TFN
Stock : Legal & General Grou (LGEN)
Quote : 60.3  -9.4 (-13.49%) @ 11:35AM
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Pension buyout firm Paternoster warns on Q4 (Legal & General Grou)

        LONDON, Oct 15 (Reuters) - Pension buyout firm Paternoster said on Wednesday
new business rose by 23 percent in the third quarter but warned of new deals
being postponed until 2009 and cut its projection for full-year growth. 
       The privately-held firm, which takes on assets from pension funds and
guarantees future payments to scheme members, said assets transferred from the
TI Group and The Pensions Trust brought new business for the year to date to 1.1
billion pounds. 
       Paternoster, the second largest pension buyout company in the UK, behind
Legal & General, has taken on some 2.7 billion pounds in assets since launching
in the second half of 2006. 
       CEO Mark Wood said the Q3 new business was secured before the most recent
market turmoil and the industry would struggle to attract custom for the rest of
the year. 
       "Setting reliable estimates of cost, while always exacting, is, in the
current market, fraught with difficulty ... We anticipate that some of the
transactions that might have taken place by the end of this year may now take
place early next year," he said. 
       "We expect Q4 new business to be below previous estimates with full-year
market growth on last year being perhaps 300 percent rather than the 400 percent
previously projected." 
    (Reporting by Joel Dimmock; Editing by Paul Bolding) Keywords: PATERNOSTER/     
tf.TFN-Europe_newsdesk@thomson.com
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