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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
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FORM 8-K
Current Report
Pursuant to Section 13 or 15(d) of the Securities
Exchange Act of 1934
October 4, 2001
Date of Report (Date of earliest event reported)
XL CAPITAL LTD
(Exact name of registrant as specified in its charter)
Cayman Islands 1-10809 98-0191089
(State or other jurisdiction of (Commission file number) (I.R.S. Employer
incorporation or organization) Identification No.)
XL House, One Bermudiana Road, Hamilton, Bermuda HM11
(Address of principal executive offices)
(441) 292-8515
(Registrant's telephone number, including area code)
Not Applicable
(Former name or former address, if changed since last report)
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Item 5. Other events.
On October 4, 2001, XL Capital Ltd issued the press release attached as Exhibit
99(a) and incorporated by reference herein.
Item 7. Financial Statements and Exhibits.
(c) Exhibits. The following exhibit is filed herewith:
Exhibit No. Description
99(a) Press Release ("XL Capital Announces Gross Claims and
Reinsurance Recoverables For Attack on the United States") dated
October 4, 2001.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
Dated: October 4, 2001
XL CAPITAL LTD
By: /s/ Paul S. Giordano
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Name: Paul S. Giordano
Title: Executive Vice President and
General Counsel and Secretary
Exhibit 99(a)
XL Capital Ltd
XL House
One Bermudiana Road
Hamilton HM 11 Bermuda
Phone: (441) 292-8515
Fax: (441) 292-5280
NEWS RELEASE
IMMEDIATE
Contact: Jerry de St. Paer Fiona Luck
Investor Contact Media Contact
441-294-7101 441-294-7128
XL CAPITAL'S STATEMENT CONCERNING
THE TRAGIC EVENTS IN THE UNITED STATES
HAMILTON, BERMUDA (October 4, 2001) - XL Capital Ltd (NYSE: XL) ("XL" or the
"Company") announced today that its estimate of gross claims related to the
September 11th attack on the United States is approximately $1.8 billion. XL's
preliminary estimate of claims arising from the attack is expected to be up to
$700 million, net of reinsurance recoveries, which is within the range
previously disclosed by XL.
Mr. Brian M. O'Hara, President and Chief Executive Officer of XL, stated:
"Although we are confident about our prospects, the third quarter of 2001 has
been the worst in the history of the property and casualty insurance industry.
In addition to our claims resulting from the attack on the United States, our
third quarter results will include a provision of approximately $100 million for
other events, including the results of newly-acquired Winterthur International
and losses stemming from the airport attack in Sri Lanka, the recent explosion
in Toulouse, France, and our Lloyd's operations."
Details of XL's reinsurance recoverables pertaining to the September 11th event
are set forth in the following table indicating that 96 percent of the relevant
reinsurers currently fall into Standard & Poor's rating categories of A or
better.
Reinsurance Recoverables
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Rating Category September 11 Events
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AAA 26%
AA 39
A 31
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96%
Other 4%
100%
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The foregoing table reflects estimates only and is based on Standard & Poor's
ratings of reinsurers as currently in effect and does not reflect potential
ratings actions that may be taken in the future with respect to any reinsurer.
The foregoing information will be included in the XL presentation at the Bermuda
Angle Conference at the Fairmont Southampton Princess Hotel in Bermuda
commencing at 8.00 a.m. Atlantic time (7.00 a.m. EST) on October 4th.
There will be a live audio webcast and simultaneous slide presentation that can
be accessed through the agenda page of the Bermuda Angle website () and will be
available until October 18, 2001. There will also be a link to the audio webcast
from the XL website (). It will be archived for approximately 30 days following
the presentation.
The Company expects to announce its third quarter earnings the week of October
22nd.
XL Capital Ltd, through its operating subsidiaries, is a leading provider of
insurance and reinsurance coverages and financial products to industrial,
commercial and professional service firms, insurance companies, and other
enterprises on a worldwide basis. As at June 30, 2001,
XL had consolidated assets of approximately $18.7 billion and consolidated
shareholders' equity of approximately $5.7 billion.
* * *
This press release contains forward-looking statements which involve inherent
risks and uncertainties. Statements that are not historical facts, including
statements about XL's beliefs, plans or expectations, are forward-looking
statements. These statements are based on current plans, estimates and
expectations. Actual results may differ materially from those projected in such
forward-looking statements and therefore you should not place undue reliance on
them. A non-exclusive list of the important factors that could cause actual
results to differ materially from those in such forward-looking statements
includes the following: (a) the size of XL's claims may change due to the
preliminary nature of reports and estimates of loss and damage to date; (b) the
timely and full recoverability of reinsurance placed by XL with third parties;
(c) the projected amount of ceded reinsurance recoverable and the ratings of
reinsurers may change; (d) the timing of claims payments being faster than
anticipated by XL; (e) adverse developments in the world's insurance,
reinsurance and financial markets; and (f) the other factors set forth in XL's
most recent report on Form 10-K and XL's other documents on file with the
Securities and Exchange Commission. XL undertakes no obligation to update
publicly or revise any forward-looking statement, whether as a result of new
information, future developments or otherwise.
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