Glacierre Press Release

PRESS RELEASE
2005-12-23
Glacier Reinsurance AG

Increases underwriting capital by US$50 million

Glacier Reinsurance AG (“Glacier Re” or “the Company”), the Swiss reinsurance company, announces that it has issued US$34 million and Euro 14 million of subordinated notes. Both the US dollar and Euro denominated issues are floating rate unsecured subordinated notes due in 2035.

The notes are designed to constitute part of Glacier Re’s permanent underwriting capital base and qualify as solvency capital under the new Swiss and European capitalisation guidelines.

Robbie Klaus, Chief Executive Officer and Chief Underwriting Officer of Glacier Re said: “The addition of these funds to our already strong balance sheet provides our clients with further financial security and gives us the flexibility to take advantage of profitable underwriting opportunities during 2006 and beyond.”

Glacier Re was established in December 2004 with US$300 million of equity capital. In addition to the above issuance the Company issued the equivalent of US$50 million of subordinated notes in May 2005 and further increased underwriting capacity in October 2005 with a $100 million common stock issue to existing shareholders. Glacier Re is rated A-(excellent) by A.M.Best.

Benfield Advisory arranged the placement of the notes on behalf of the Company.

Further information

The Company

Glacier Reinsurance AG
Robbie Klaus / Glenn Campbell
Tel: +41 55 417 3401 / 3402

Media

Haggie Financial
David Haggie / Peter Rigby
Tel: +44 20 7417 8989