Hmmm, I wonder...if XL would like to try on CNA
for a grand entrance into the world of one-upmanship?
Yeah, they have NAC RE and subsidiaries, but they
screwed up on Intercargo.
Methinks that such an
acquisition would give certain people a woody in that small
isle. At least it woud be accretitive to this years
earnings and a great add-on to XLA.
Berkshire is interested, too..isn't that same firm that
wrote ACL a blank check for pre-1986 losses in both
Westchester and CIGNA? Nah, they got GEICO don't
Ahh, I love this game. Did you really think BMO would
let BD sit back and hog all the lime light? Kirk
Douglas, Charleston Heston, please get your chariots
PS. Who do you think will get Fiona?
Can anyone advance any reasons why XL has
performed so dismally? I've watched it decline from 80 to
below 50. It enjoys? stellar brokerage recommendations
but has simply been an investment dog since it
acquired Mid-Ocean. It appears I can only hope XL will use
some of their cash to repurchase shares and prop up
the price. I'm baffled. Any insight for this
disappointed shareholder. Thanks.
Check out the company called U.S. Funding. I
invested in their private
offering for Emsanet - A new
Internet service provider. When I called U.S.
they told me that Emsanet should be a profitable
they only charge $12 a month for
service, have zero debt, plan to be
they go public & plans to pay dividends before they
public. They are selling 1,000,000 shares at $3.50 a
share with a minimum
investment of $3,500. The
company plans to go public at the beginning of
around $20 a share. You can contact them by calling toll
999-8068 or you can e-mail them at
email@example.com If you e-mail
them include your daytime phone
Most P&C and Specialty insurors are down. AIG is
a good bet as well as AFLAC and some life firms. XL
and its Bermudian neighbors are long term plays but
nevertheless very solid.
I don't see XL going under
54-55 so you are darn near the bottom.
problem is that the industry in general is
over-capitalized and the returns are marginal. There are other
stocks that, at this time, are providing higher
I hate it when people ask insipid questions, but
now its my turn.
I think the large cap US
equities mkt. is overvalued, hence i've been searching for
equities with tangible value, thus far I've picked up
BASFY, Bayer, among others. i do have some popular large
cap tech stocks but do not wish to add to those
positions, I'm attempting to hedge US volatility by
selecting strong foreign companies.
looks intriguing, but the Bermuda affiliation worries
me. should it?
I was looking at CB and CNA among
others and backed off, so here are the dumb questions.
Is XL a good buy? Why is it down so much? is that a
result of the acquisition? Will the acquistion be
accretive in 2000? Or is it a millstone? Is it possible
that Buffet may buy this? (he likes insurance, and
strong cash flow) Also, since GBLX/US West/Frontier is
in the papers everyday, it may perhaps lend some PR
to Bermuda based companies..
any comments are
IMO one reason for the depressed share price
(besides the sector) could be that there are now more
shares in the float. Acording to the 6/23/99 PR, in
part..."The weighted average number of ordinary shares and
share equivalents outstanding on a fully diluted basis
in the second quarter was 112.4 million in 1999
versus 86.3 million in 1998. In fiscal 1999 the Company
has repurchased 2.1 million of its shares for $126.8
million including 645,000 shares purchased subsequent to
May 31, 1999. The Company's share repurchase program
has now been rescinded."
That's about a 26
million increase in shares. If someone has any opinion on
this be my guest.
I agree, in part. Other serious consideratioins
have to be an underwriting profit, no pre-1986
liabilities (in other words, a clean balance sheet) and good
underwriting. There's not too much out ther since most have
released reserves to stave off the risk based capital
crunch. Once Greenberg and crew raise rates, you'll see
some more push their exit buttons.
By the way,
I think thier new collaborative effort with
Microsoft's former RM, IBM and others to create "INquisLogic,
a risk analysis tool, is cutting edge. I heard that
their booth at RIMS was crowded with people who wanted
to play for hours with this new RM
Though the stock has fallen down, so has most of the
sector, especially Bermuda firms. That's OK. They have
plenty of cash and some good bargains will appear.
Personaly, I'll buy more when it dips below 55 again.
BOH was quite vocal in suggesting that he prefers the high severity, low frequency businesses to those like CIGNA. If they were to go after CNA, they would continue to anger their shareholders.