* Q3 EPS $0.51 vs $0.84 last year
* Sees 2008 EPS at $2.60-$2.90 vs estimate of $3.03
* Q3 net investment income fell 28 pct to $36 mln
* Sees further gross losses from hurricanes
Nov 4 (Reuters) - HCC Insurance Holdings Inc posted a 40 percent fall in
quarterly profit hurt by losses due to Hurricanes Gustav and Ike, primarily from
offshore energy exposures, and investment losses, and cut its 2008 earnings
outlook.
"There may be some further increase in the gross losses for the two
hurricanes, but HCC's net loss is not expected to increase," Chief Executive
Frank Bramanti said in a statement.
Third-quarter results were hurt by net losses of $24.5 million from
hurricanes, realized investment losses of $17.2 million and $14.3 million in
losses from alternative investments, Bramanti said.
HCC earned $59.1 million for the quarter, down from $97.9 million it
recorded a year ago.
Net premium earned rose 2.5 percent to $505 million.
HCC will exit equity and equity-related investments, including hedge
funds and alternative investments, and reinvest those funds in fixed income
securities to eliminate the volatility in its investment income, Bramanti said.
Shares of the Houston, Texas-based company closed up 3 percent at $23.19
Tuesday on the New York Stock Exchange.
For the press release, please click. For the alerts, please click.
(Reporting by Adheesha Sarkar in Bangalore; Editing by Gopakumar Warrier)
Keywords: HCCINSURANCE/
(adheesha.sarkar@reuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80
4135 5800; Reuters Messaging: adheesha.sarkar.reuters.com@reuters.net)
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