Alleghany (Y) 8-K Results of Operations and Financial Condition

Exhibit 99.1

ALLEGHANY CORPORATION

7 Times Square Tower, 17^th Floor

New York, NY 10036

ALLEGHANY CORPORATION REPORTS 2012 THIRD QUARTER RESULTS:

STOCKHOLDERS’ EQUITY PER COMMON SHARE

INCREASES 13.6% SINCE 2011 YEAR-END

NEW YORK, NY, November 6, 2012 –Alleghany Corporation (NYSE-Y) reported stockholders’ equity per common share of $388.67 as of September 30, 2012, an increase of 13.6% from stockholders’ equity per common share of $342.12 at 2011 year-end. Stockholders’ equity per common share as of September 30, 2012 reflects 8,360,959 shares issued in connection with the merger between Alleghany and Transatlantic Holdings, Inc., which closed on March 6, 2012. Alleghany’s results for the first nine months of 2012 include Transatlantic’s operations subsequent to the closing date.

Highlights include:

• An increase in stockholders’ equity to approximately $6.6 billion as of September 30, 2012 from approximately $2.9 billion as of December 31, 2011, primarily reflecting both the merger and Alleghany’s net earnings in the first nine months of 2012.

• Cash and invested assets as of September 30, 2012 of approximately $19.0 billion, compared with $4.9 billion at December 31, 2011.

• 2012 third quarter pre-tax earnings, before merger-related items, of $224.2 million, compared with $33.7 million for the 2011 third quarter.

• 2012 third quarter net earnings of $125.4 million or $7.41 per common share (presented on a basic basis throughout), compared with $19.2 million or $2.17 per common share, for the 2011 third quarter.

• 2012 year-to-date pre-tax earnings, before merger-related items, of $658.9 million, compared with $139.4 million for the corresponding 2011 period.

• 2012 year-to-date net earnings of $794.9 million or $53.19 per common share, compared with $105.6 million or $11.89 per common share for the corresponding 2011 period.

• 2012 year-to-date results include merger-related items associated with the purchase of Transatlantic, including a gain of $494.9 million resulting from the application of purchase accounting treatment, amortization of intangible assets of $213.4 million and transaction costs of $33.8 million.

A summary of Alleghany’s pre-tax results for the three and nine months ended September 30, 2012 and 2011 follows:

	Three Months ended September 30,									Nine Months ended September  30,
(in millions)	2012			2011			Change			2012			2011			Change
Underwriting profit (loss):
Reinsurance	$	137.5		$	—		$	137.5		$	369.2		$	—		$	369.2
Insurance		28.5			0.2			28.3			73.1			40.8			32.3
		166.0			0.2			165.8			442.3			40.8			401.5
Net investment income		90.5			22.1			68.4			234.6			82.2			152.4
Net realized capital gains		12.4			22.7			(10.3	)		119.8			63.9			55.9
Other than temporary impairment losses		—			(2.8	)		2.8			(2.9	)		(2.8	)		(0.1	)
Other income		33.8			0.3			33.5			43.4			1.5			41.9
Other operating expenses		(47.4	)		(1.8	)		(45.6	)		(97.9	)		(19.0	)		(78.9	)
Corporate administration		(9.3	)		(2.7	)		(6.6	)		(33.9	)		(14.1	)		(19.8	)
Interest expense		(21.8	)		(4.3	)		(17.5	)		(46.5	)		(13.1	)		(33.4	)
Net earnings before merger related items and income taxes	$	224.2		$	33.7		$	190.5		$	658.9		$	139.4		$	519.5
Merger-related items:
Gain on bargain purchase		—			—			—			494.9			—			494.9
Amortization of intangible assets*		(73.3	)		(0.8	)		(72.5	)		(213.4	)		(2.5	)		(210.9	)
Transaction costs		—			—			—			(33.8	)		—			(33.8	)
		(73.3	)		(0.8	)		(72.5	)		247.7			(2.5	)		250.2
Earnings before income taxes	$	150.9		$	32.9		$	118.0		$	906.6		$	136.9		$	769.7

* Include immaterial amounts of ongoing amortization arising from the acquisition of subsidiaries other than Transatlantic.

Weston M. Hicks, President and chief executive officer, commented:

“Growth in Alleghany’s book value in the third quarter and year to date reflects the benefits of the Transatlantic merger, favorable underwriting results at Transatlantic and RSUI, and a 5.1% total return on our investment portfolio. We continue to see good premium growth at RSUI and in Capitol Transamerica’s continuing business driven by increased submissions coupled with modest overall rate increases. We believe we have also started to see the beginning of a much needed recovery in the California workers’ compensation market.”

“Hurricane Sandy, which recently hit the U.S. East Coast, was a large and complex event. Transatlantic and RSUI have significant underwriting exposures in the affected areas and their top priority is to handle clients’ claims from Sandy. Transatlantic and RSUI are also in the process of analyzing claims data and other information to estimate their ultimate losses from this event; however, it is too early to determine a reliable loss estimate. Alleghany and its subsidiaries are well-capitalized and maintain significant liquidity, including approximately $900 million of available holding company funds.”

2012 Third Quarter Underwriting Income Information

Alleghany’s underwriting profit for the 2012 third quarter was $166.0 million, compared with $0.2 million in the third quarter of 2011, reflecting the contribution of $137.5 million of underwriting profit from the reinsurance segment (comprised of Transatlantic’s operations), and to a lesser extent, an increase in the insurance segment’s underwriting profit. The reinsurance segment’s underwriting profit for the quarter was

2

due primarily to the lack of large property losses and the favorable impact of purchase accounting on Transatlantic’s expense ratio. The insurance segment’s underwriting profit for the quarter was due primarily to strong third quarter performance at RSUI, including improved property market pricing and lower catastrophe and non-catastrophe property losses, partially offset by the impact of a net adverse reserve development at Capitol Transamerica during the quarter.

Total net premiums written for the quarter were $1,043 million, compared with $190 million for the 2011 third quarter. The insurance segment’s net written premium for the quarter increased by 5.1% to $199.6 million from the 2011 third quarter.

Alleghany’s combined ratio for the quarter was 84.8%, compared with 99.9% in the 2011 third quarter. The reinsurance segment’s combined ratio for the quarter was 84.4%, and the insurance segment’s combined ratio was 86.5%, compared with 99.9% during the 2011 third quarter.

2012 Year-to-Date Underwriting Income Information

Alleghany’s underwriting profit for the first nine months of 2012 was $442.3 million, compared with $40.8 million in the first nine months of 2011. The increase reflects the contribution of $369.2 million of reinsurance segment underwriting profit during the 208-day period of Alleghany’s ownership of Transatlantic, and to a lesser extent, an increase in insurance segment underwriting profit. The reinsurance segment’s underwriting profit during the period was due primarily to the lack of large property losses and the favorable impact of purchase accounting on Transatlantic’s expense ratio. The insurance segment’s underwriting profit during the period was due primarily to strong performance at RSUI, including improved property market pricing, and the absence of adverse reserve development at PacificComp that was significant in the 2011 period, partially offset by the impact of net adverse reserve development at Capitol Transamerica.

Total net premiums written for the period were $2,700 million, compared with $601 million for the first nine months of 2011. The insurance segment’s net written premium for the period increased by 12.8% to $678.3 million from the first nine months of 2011.

Alleghany’s combined ratio for the period was 83.1%, compared with 92.6% during the first nine months of 2011. The reinsurance segment’s combined ratio for the period was 81.7%, and the insurance segment’s combined ratio was 87.9%, compared with 92.6% during the first nine months of 2011.

Investment Performance

Alleghany’s net investment income for the third quarter and first nine months of 2012 was $90.5 million and $234.6 million, respectively, an increase of 310% and 185% over the corresponding 2011 periods, reflecting the addition of Transatlantic’s investment portfolio. The interest income earned on Transatlantic’s fixed income portfolio is net of a significant increase to amortization expense resulting from the write-up of the portfolio’s amortized cost basis to its fair value as of the acquisition date. This increased amortization expense reduced Transatlantic’s reported net investment income, compared with Transatlantic’s net investment income prior to the merger. Alleghany’s investment portfolio, excluding other invested assets, was $18.1 billion as of September 30, 2012. The total return on the investment portfolio, excluding other invested assets, for the first nine months of 2012 was 5.1%, including returns of 4.0% on the fixed income portfolio and 6.6% on the equity portfolio. The equity portfolio return compares with a 16.4% total return for the S&P 500 for the first nine months of 2012.

3

Share Repurchase Authorization

In October 2012, Alleghany’s Board of Directors authorized the repurchase of shares of its common stock, at such times and at prices as management determines advisable, up to an aggregate of $300.0 million.

Additional Information

Additional information regarding Alleghany’s 2012 third quarter and year-to-date results, including management’s discussion and analysis of Alleghany’s financial condition and results of operations, is contained in Alleghany’s Quarterly Report on Form 10-Q for the period ended September 30, 2012, to be filed with the U.S. Securities and Exchange Commission (the “SEC”) on or about the date hereof. The Form 10-Q will be available on Alleghany’s website atwww.alleghany.com and on the SEC’s website atwww.sec.gov. Readers are urged to review the Form 10-Q for a more complete discussion of Alleghany’s financial performance.

About Alleghany Corporation

Alleghany Corporation (NYSE-Y) creates stockholder value through the ownership and management of operating subsidiaries and investments, anchored by a core position in property and casualty reinsurance and insurance. Alleghany’s property and casualty subsidiaries include: Transatlantic Holdings, Inc., a leading global reinsurance organization headquartered in New York; RSUI Group, Inc., a national underwriter of specialty property and liability insurance coverages; Capitol Transamerica Corporation, an underwriter of specialty property, casualty and surety insurance coverages; and Pacific Compensation Corporation, an underwriter of workers’ compensation insurance primarily in California.

Comment on Regulation G

Throughout this press release, Alleghany’s results of operations have been presented in the way that Alleghany believes will be the most meaningful and useful to investors, analysts, rating agencies and others who use financial information in evaluating the performance of Alleghany. This presentation includes the use of underwriting profit, which is a “non-GAAP financial measure,” as such term is defined in Regulation G promulgated by the SEC. Underwriting profit represents net premiums earned less net loss and loss adjustment expense and commissions, brokerage and other underwriting expenses, all as determined in accordance with U.S. GAAP, and does not include net investment income, net realized capital gains, other than temporary impairment losses, other income, other operating expenses, amortization of intangible assets or interest expense. Alleghany consistently uses underwriting profit as a supplement to earnings before income taxes, the most comparable U.S. GAAP financial measure, to evaluate the performance of its segments and believes that underwriting profit provides useful additional information to investors because it highlights net earnings attributable to a segment’s underwriting performance. Earnings before income taxes may show a profit despite an underlying underwriting loss, and when underwriting losses persist over extended periods, a reinsurance or insurance company’s ability to continue as an ongoing concern may be at risk. However, underwriting profit is not meant to be considered in isolation or as a substitute for earnings before income taxes or any other measures of operating performance prepared in accordance with U.S. GAAP. A reconciliation of underwriting profit to earnings before income taxes is presented in the schedules included herein.

# # #

4

Forward-looking Statements

This release contains disclosures which are forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements include all statements that do not relate solely to historical or current facts, and can be identified by the use of words such as “may,” “will,” “expect,” “project,” “estimate,” “anticipate,” “plan,” “believe,” “potential,” “should,” “continue” or the negative versions of those words or other comparable words. These forward-looking statements are based upon Alleghany’s current plans or expectations and are subject to a number of uncertainties and risks that could significantly affect current plans, anticipated actions and Alleghany’s future financial condition and results. These statements are not guarantees of future performance, and Alleghany has no specific intention to update these statements. The uncertainties and risks include, but are not limited to,

• significant weather-related or other natural or human-made catastrophes and disasters;

• the cyclical nature of the property and casualty reinsurance and insurance industries;

• changes in market prices of Alleghany’s significant equity investments and changes in value of its debt securities portfolio;

• adverse loss development for events insured by Alleghany’s reinsurance and insurance operating units in either the current year or prior years;

• the long-tail and potentially volatile nature of certain casualty lines of business written by Alleghany’s reinsurance and insurance operating units;

• the cost and availability of reinsurance;

• exposure to terrorist acts and acts of war;

• the willingness and ability of Alleghany’s reinsurance and insurance operating units’ reinsurers to pay reinsurance recoverables owed to its reinsurance and insurance operating units;

• changes in the ratings assigned to Alleghany’s reinsurance and insurance operating units;

• claims development and the process of estimating reserves;

• legal, political, judicial and regulatory changes, including the federal financial regulatory reform of the insurance industry by the Dodd-Frank Wall Street Reform and Consumer Protection Act;

• the uncertain nature of damage theories and loss amounts;

• the reliance by Alleghany’s reinsurance operating units on a limited number of brokers;

• increases in the levels of risk retention by Alleghany’s reinsurance and insurance operating units;

• the loss of key personnel;

• fluctuation in foreign currency exchange rates;

• the failure to comply with the restrictive covenants contained in the agreements governing its indebtedness;

• the ability to make payments on, or repay or refinance, its debt;

• the ability to successfully integrate Transatlantic’s operations and employees; and

• risks inherent in international operations.

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Additional risks and uncertainties include general economic and political conditions, including the effects of a prolonged U.S. or global economic downturn or recession; changes in costs; variations in political, economic or other factors; risks relating to conducting operations in a competitive environment; effects of acquisition and disposition activities, inflation rates, or recessionary or expansive trends; changes in interest rates; extended labor disruptions, civil unrest, or other external factors over which Alleghany has no control; and changes in Alleghany’s plans, strategies, objectives, expectations, or intentions, which may happen at any time at its discretion. As a consequence, current plans, anticipated actions, and future financial condition and results may differ from those expressed in any forward-looking statements made by Alleghany or on its behalf.

For more information, please contact:

Jeff Majtyka/Mike Smargiassi

Brainerd Communicators, Inc.

212-986-6667

6

ALLEGHANY CORPORATION AND SUBSIDIARIES

Consolidated Balance Sheets

	September 30, 2012			December 31, 2011
	(unaudited)
	(in thousands, except share amounts)
Assets
Investments:
Available-for-sale securities at fair value:
Equity securities (cost: 2012 – $1,457,758; 2011 – $775,741)	$	1,504,601		$	870,950
Debt securities (amortized cost: 2012 – $15,908,901; 2011 – $2,538,872)		16,336,461			2,679,528
Short-term investments		235,096			1,096,517
		18,076,158			4,646,995
Other invested assets		383,706			179,815
Total investments		18,459,864			4,826,810
Cash		571,313			84,749
Accrued investment income		164,740			28,879
Premium balances receivable		676,076			147,006
Reinsurance recoverables		1,271,555			852,845
Ceded unearned premiums		171,284			142,946
Deferred acquisition costs		285,604			70,537
Property and equipment at cost, net of accumulated depreciation and amortization		31,098			17,906
Goodwill		82,495			48,095
Intangible assets, net of amortization		165,669			90,863
Current taxes receivable		67,779			—
Net deferred tax assets		449,326			80,975
Other assets		360,839			86,478
	$	22,757,642		$	6,478,089
Liabilities and Stockholders’ Equity
Loss and loss adjustment expenses	$	11,830,765		$	2,313,035
Unearned premiums		1,808,766			549,740
Senior Notes		1,815,660			299,035
Reinsurance payable		90,768			45,462
Current taxes payable		—			16,247
Other liabilities		630,614			328,893
Total liabilities		16,176,573			3,552,412
Common stock (shares authorized: 2012 and 2011 – 22,000,000; issued 2012 –17,478,746; 2011 – 9,117,787)		17,479			9,118
Contributed capital		3,626,742			938,037
Accumulated other comprehensive income		314,018			155,532
Treasury stock, at cost (2012 – 546,418 shares; 2011 – 566,141 shares)		(161,490	)		(167,319	)
Retained earnings		2,784,320			1,990,309
Total stockholders’ equity		6,581,069			2,925,677
	$	22,757,642		$	6,478,089

7

ALLEGHANY CORPORATION AND SUBSIDIARIES

Consolidated Statements of Earnings and Comprehensive Income

(unaudited)

	Three Months Ended September 30,
	2012			2011
	(in thousands, except per share amounts)
Revenues
Net premiums earned	$	1,092,775		$	190,209
Net investment income		90,514			22,050
Net realized capital gains		12,388			22,706
Other than temporary impairment losses		—			(2,756	)
Gain on bargain purchase		—			—
Other income		33,843			321
Total revenues		1,229,520			232,530
Costs and Expenses
Net loss and loss adjustment expenses		672,984			121,777
Commissions, brokerage and other underwriting expenses		253,756			68,239
Other operating expenses		47,432			1,757
Corporate administration		9,304			2,649
Amortization of intangible assets		73,356			838
Interest expense		21,764			4,329
Total costs and expenses		1,078,596			199,589
Earnings before income taxes		150,924			32,941
Income taxes		25,480			13,783
Net earnings	$	125,444		$	19,158
Other comprehensive income:
Change in unrealized gains (losses), net of deferred taxes of $92,641 and $(71,817) for 2012 and 2011, respectively		172,048			(133,375	)
Less: reclassification for net realized capital gains and other than temporary impairment losses, net of taxes of $(4,336) and $(6,983) for 2012 and 2011, respectively		(8,052	)		(12,968	)
Change in unrealized currency translation adjustment, net of deferred taxes of $5,931 and $0 for 2012 and 2011, respectively		11,014			—
Retirement plans		(25	)		(50	)
Comprehensive income	$	300,429		$	(127,235	)
Basic earnings per share	$	7.41		$	2.17
Diluted earnings per share		7.41			2.03

8

ALLEGHANY CORPORATION AND SUBSIDIARIES

Consolidated Statements of Earnings and Comprehensive Income

(unaudited)

	Nine Months Ended September 30,
	2012			2011
	(in thousands, except per share amounts)
Revenues
Net premiums earned	$	2,622,914		$	555,067
Net investment income		234,568			82,174
Net realized capital gains		119,829			63,888
Other than temporary impairment losses		(2,907	)		(2,756	)
Gain on bargain purchase		494,940			—
Other income		43,434			1,454
Total revenues		3,512,778			699,827
Costs and Expenses
Net loss and loss adjustment expenses		1,587,815			315,418
Commissions, brokerage and other underwriting expenses		592,809			198,899
Other operating expenses		97,910			18,998
Corporate administration		67,691			14,030
Amortization of intangible assets		213,393			2,516
Interest expense		46,584			13,049
Total costs and expenses		2,606,202			562,910
Earnings before income taxes		906,576			136,917
Income taxes		111,720			31,337
Net earnings	$	794,856		$	105,580
Other comprehensive income:
Change in unrealized gains (losses), net of deferred taxes of $127,043 and $(31,522) for 2012 and 2011, respectively		235,937			(58,540	)
Less: reclassification for net realized capital gains and other than temporary impairment losses, net of taxes of ($40,923) and $(21,396) for 2012 and 2011, respectively		(75,999	)		(39,736	)
Change in unrealized currency translation adjustment, net of deferred taxes of $(352) and $0 for 2012 and 2011, respectively		(653	)		—
Retirement plans		(799	)		(229	)
Comprehensive income	$	953,342		$	7,075
Basic earnings per share	$	53.19		$	11.89
Diluted earnings per share		53.14			11.76

9

Alleghany Corporation and Subsidiaries

Cash and Investments

(in millions)

	September 30, 2012		December 31, 2011
Equity securities:
Common stock	$	1,504.6	$	871.0
Preferred stock		—		—
Total equity securities		1,504.6		871.0
Debt securities:
U.S. Government obligations		486.2		267.8
Municipal bonds		6,563.9		1,113.6
Foreign government obligations		838.4		—
U.S. corporate bonds		3,516.8		354.1
Foreign corporate bonds		2,203.7		83.5
Mortgage and asset-backed securities:
Residential mortgage-backed securities		1,975.9		497.3
Commercial mortgage-backed securities		493.9		144.7
Other asset-backed securities		257.7		218.5
Total debt securities		16,336.5		2,679.5
Other invested assets:
Equity method investments		195.7		129.8
Partnership investments		155.5		23.6
Other		32.5		26.4
		383.7		179.8
Short-term investments		235.1		1,096.5
Total investments		18,459.9		4,826.8
Cash		571.3		84.7
Total cash and investments	$	19,031.2	$	4,911.5

10

Alleghany Corporation and Subsidiaries

Net Investment Income

(in millions)

	For the Three Months Ended September 30,
	2012			2011
Interest income	$	88.2		$	25.2
Dividends		8.3			9.6
Equity in income (losses) of Homesite		(2.9	)		(9.6	)
Equity in income (losses) of ORX		(0.9	)		(1.2	)
Other investment income (losses)		1.5			(0.4	)
Total investment income		94.2			23.6
Investment expenses		(3.7	)		(1.5	)
Net investment income	$	90.5		$	22.1
Net investment income—after tax*	$	78.6		$	18.7
	For the Nine Months Ended September 30,
	2012			2011
Interest income	$	218.2		$	76.2
Dividends		14.5			29.8
Equity in income (losses) of Homesite		9.5			(16.7	)
Equity in income (losses) of ORX		(4.2	)		(3.4	)
Other investment income (losses)		8.2			1.1
Total investment income		246.2			87.0
Investment expenses		(11.6	)		(4.8	)
Net investment income	$	234.6		$	82.2
Net investment income—after tax*	$	200.3		$	66.3

* Reflects income tax at a 35.0 percent statutory rate, except for tax-exempt interest income  and dividends subject to dividends-received deductions.

11

Alleghany Corporation and Subsidiaries

Premiums Written

(in millions)

For the Three Months Ended September 30,

	Gross Premiums Written											Net Premiums Written
	2012			2011		Change			% Change			2012		2011		Change		% Change
Reinsurance segment:
Property	$	281.9		$	—	$	281.9			NM		$	248.0	$	—	$	248.0		NM
Casualty and Other		604.6			—		604.6			NM			594.9		—		594.9		NM
		886.5			—		886.5			NM			842.9		—		842.9		NM
Insurance segment:
RSUI		248.9			230.2		18.7			8.1	%		155.1		151.8		3.3		2.2	%
CATA		40.6			38.8		1.8			4.6	%		38.4		36.6		1.8		4.9	%
PCC		6.3			1.4		4.9			350.0	%		6.1		1.5		4.6		306.7	%
		295.8			270.4		25.4			9.4	%		199.6		189.9		9.7		5.1	%
Intercompany elimination		(5.9	)		—		(5.9	)		NM			—		—		—
Total	$	1,176.4		$	270.4	$	906.0			NM		$	1,042.5	$	189.9	$	852.6		NM

For the Nine Months Ended September 30,

	Gross Premiums Written											Net Premiums Written
	2012			2011		Change			% Change			2012		2011		Change		% Change
Reinsurance segment:
Property	$	660.8		$	—	$	660.8			NM		$	608.6	$	—	$	608.6		NM
Casualty and Other		1,436.1			—		1,436.1			NM			1,413.5		—		1,413.5		NM
		2,096.9			—		2,096.9			NM			2,022.1		—		2,022.1		NM
Insurance segment:
RSUI		861.4			763.1		98.3			12.9	%		551.7		489.2		62.5		12.8	%
CATA		120.8			115.0		5.8			5.0	%		114.1		108.3		5.8		5.4	%
PCC		12.6			2.5		10.1			404.0	%		12.5		3.6		8.9		247.2	%
		994.8			880.6		114.2			13.0	%		678.3		601.1		77.2		12.8	%
Intercompany elimination		(12.9	)		—		(12.9	)		NM			—		—		—
Total	$	3,078.8		$	880.6	$	2,198.2			NM		$	2,700.4	$	601.1	$	2,099.3		NM

12

Alleghany Corporation and Subsidiaries

Underwriting Results

For the Three Months Ended September 30, 2012

(in millions)

	Reinsurance Segment									Insurance Segment
	Property			Casualty &Other			Total			RSUI			CATA			PCC			Total			Total Segments			Corporate Activities			Consolidated
Premiums written:
Gross	$	281.9		$	604.6		$	886.5		$	248.9		$	40.6		$	6.3		$	295.8		$	1,182.3		$	(5.9	)	$	1,176.4
Net		248.0			594.9			842.9			155.1			38.4			6.1			199.6			1,042.5			—			1,042.5
Net premiums earned	$	264.7		$	616.4		$	881.1		$	169.8		$	37.0		$	4.9		$	211.7		$	1,092.8		$	—		$	1,092.8
Net loss and LAE:
Current year		103.7			458.8			562.5			93.7			18.9			4.0			116.6			679.1			—			679.1
Prior years		—			—			—			(10.8	)		4.2			0.5			(6.1	)		(6.1	)		—			(6.1	)
		103.7			458.8			562.5			82.9			23.1			4.5			110.5			673.0			—			673.0
Commissions, brokerage and other underwriting expenses		55.4			125.7			181.1			46.1			19.7			6.9			72.7			253.8			—			253.8
Underwriting profit (loss)	$	105.6		$	31.9		$	137.5		$	40.8		$	(5.8	)	$	(6.5	)	$	28.5			166.0			—			166.0
Net investment income																							90.1			0.4			90.5
Net realized capital gains																							12.4			—			12.4
OTTI losses																							—			—			—
Gain on bargain purchase																							—			—			—
Other income																							24.2			9.6			33.8
Other operating expenses																							36.3			11.1			47.4
Corporate administration																							—			9.3			9.3
Amortization of intangible assets																							73.3			—			73.3
Interest expense																							12.5			9.3			21.8
Earnings before income taxes																						$	170.6		$	(19.7	)	$	150.9
Ratios:
Net loss and LAE
Current year		39.2	%		74.4	%		63.8	%		55.3	%		51.0	%		80.5	%		55.1	%		62.1	%
Prior years		0.0	%		0.0	%		0.0	%		-6.4	%		11.3	%		10.2	%		-2.9	%		-0.5	%
		39.2	%		74.4	%		63.8	%		48.9	%		62.3	%		90.7	%		52.2	%		61.6	%
Expense		20.9	%		20.4	%		20.6	%		27.1	%		53.3	%		141.0	%		34.3	%		23.2	%
Combined		60.1	%		94.8	%		84.4	%		76.0	%		115.6	%		231.7	%		86.5	%		84.8	%

13

Alleghany Corporation and Subsidiaries

Underwriting Results

For the Three Months Ended September 30, 2011

(in millions)

	Reinsurance Segment						Insurance Segment
	Property		Casualty & Other		Total		RSUI			CATA			PCC			Total			Total Segments			Corporate Activities			Consolidated
Premiums written:
Gross	$	—	$	—	$	—	$	230.2		$	38.8		$	1.4		$	270.4		$	270.4		$	—		$	270.4
Net		—		—		—		151.8			36.6			1.5			189.9			189.9			—			189.9
Net premiums earned	$	—	$	—	$	—	$	152.2		$	36.7		$	1.3		$	190.2		$	190.2		$	—		$	190.2
Net loss and LAE:
Current year		—		—		—		116.3			19.5			1.0			136.8			136.8			—			136.8
Prior years		—		—		—		(15.3	)		(0.5	)		0.8			(15.0	)		(15.0	)		—			(15.0	)
		—		—		—		101.0			19.0			1.8			121.8			121.8			—			121.8
Commissions, brokerage and other underwriting expenses		—		—		—		44.1			17.6			6.5			68.2			68.2			—			68.2
Underwriting profit (loss)	$	—	$	—	$	—	$	7.1		$	0.1		$	(7.0	)	$	0.2			0.2			—			0.2
Net investment income																				29.7			(7.6	)		22.1
Net realized capital gains																				22.1			0.6			22.7
OTTI losses																				(2.8	)		—			(2.8	)
Gain on bargain purchase																				—			—			—
Other income																				0.3			—			0.3
Other operating expenses																				0.7			1.1			1.8
Corporate administration																				—			2.7			2.7
Amortization of intangible assets																				0.8			—			0.8
Interest expense																				—			4.3			4.3
Earnings before income taxes																			$	48.0		$	(15.1	)	$	32.9
Ratios:
Net loss and LAE
Current year								76.5	%		53.2	%		74.1	%		71.9	%		71.9	%
Prior years								-10.1	%		-1.4	%		61.5	%		-7.9	%		-7.9	%
								66.4	%		51.8	%		135.6	%		64.0	%		64.0	%
Expense								29.0	%		47.9	%		519.7	%		35.9	%		35.9	%
Combined								95.4	%		99.7	%		655.3	%		99.9	%		99.9	%

14

Alleghany Corporation and Subsidiaries

Underwriting Results

For the Nine Months Ended September 30, 2012

(in millions)

	Reinsurance Segment									Insurance Segment
	Property			Casualty &Other			Total			RSUI			CATA			PCC			Total			Total Segments			Corporate Activities			Consolidated
Premiums written:
Gross	$	660.8		$	1,436.1		$	2,096.9		$	861.4		$	120.8		$	12.6		$	994.8		$	3,091.7		$	(12.9	)	$	3,078.8
Net		608.6			1,413.5			2,022.1			551.7			114.1			12.5			678.3			2,700.4			—			2,700.4
Net premiums earned	$	603.6		$	1,413.9		$	2,017.5		$	487.6		$	107.3		$	10.5		$	605.4		$	2,622.9		$	—		$	2,622.9
Net loss and LAE:
Current year		215.5			1,055.5			1,271.0			262.6			52.9			8.1			323.6			1,594.6			—			1,594.6
Prior years		—			—			—			(22.8	)		14.1			1.9			(6.8	)		(6.8	)		—			(6.8	)
		215.5			1,055.5			1,271.0			239.8			67.0			10.0			316.8			1,587.8			—			1,587.8
Commissions, brokerage and other underwriting expenses		121.1			256.2			377.3			136.7			58.5			20.3			215.5			592.8			—			592.8
Underwriting profit (loss)	$	267.0		$	102.2		$	369.2		$	111.1		$	(18.2	)	$	(19.8	)	$	73.1			442.3			—			442.3
Net investment income																							226.0			8.6			234.6
Net realized capital gains																							81.2			38.6			119.8
OTTI losses																							(2.9	)		—			(2.9	)
Gain on bargain purchase																							—			494.9			494.9
Other income																							25.2			18.2			43.4
Other operating expenses																							73.9			24.0			97.9
Corporate administration																							—			67.7			67.7
Amortization of intangible assets																							213.4			—			213.4
Interest expense																							28.2			18.3			46.5
Earnings before income taxes																						$	456.3		$	450.3		$	906.6
Ratios:
Net loss and LAE
Current year		35.7	%		74.7	%		63.0	%		53.9	%		49.3	%		77.1	%		53.5	%		60.8	%
Prior years		0.0	%		0.0	%		0.0	%		-4.7	%		13.2	%		18.2	%		-1.2	%		-0.3	%
		35.7	%		74.7	%		63.0	%		49.2	%		62.5	%		95.3	%		52.3	%		60.5	%
Expense		20.1	%		18.1	%		18.7	%		28.0	%		54.5	%		193.3	%		35.6	%		22.6	%
Combined		55.8	%		92.8	%		81.7	%		77.2	%		117.0	%		288.6	%		87.9	%		83.1	%

15

Alleghany Corporation and Subsidiaries

Underwriting Results

For the Nine Months Ended September 30, 2011

(in millions)

	Reinsurance Segment						Insurance Segment
	Property		Casualty & Other		Total		RSUI			CATA			PCC			Total			Total Segments			Corporate Activities			Consolidated
Premiums written:
Gross	$	—	$	—	$	—	$	763.1		$	115.0		$	2.5		$	880.6		$	880.6		$	—		$	880.6
Net		—		—		—		489.2			108.3			3.6			601.1			601.1			—			601.1
Net premiums earned	$	—	$	—	$	—	$	438.2		$	113.9		$	3.0		$	555.1		$	555.1		$	—		$	555.1
Net loss and LAE:
Current year		—		—		—		283.2			60.1			1.6			344.9			344.9			—			344.9
Prior years		—		—		—		(46.9	)		0.5			16.9			(29.5	)		(29.5	)		—			(29.5	)
		—		—		—		236.3			60.6			18.5			315.4			315.4			—			315.4
Commissions, brokerage and other underwriting expenses		—		—		—		126.3			54.2			18.4			198.9			198.9			—			198.9
Underwriting profit (loss)	$	—	$	—	$	—	$	75.6		$	(0.9	)	$	(33.9	)	$	40.8			40.8			—			40.8
Net investment income																				90.9			(8.7	)		82.2
Net realized capital gains																				63.3			0.6			63.9
OTTI losses																				(2.8	)		—			(2.8	)
Gain on bargain purchase																				—			—			—
Other income																				0.6			0.9			1.5
Other operating expenses																				16.1			2.9			19.0
Corporate administration																				—			14.1			14.1
Amortization of intangible assets																				2.5			—			2.5
Interest expense																				0.1			13.0			13.1
Earnings before income taxes																			$	174.1		$	(37.2	)	$	136.9
Ratios:
Net loss and LAE
Current year								64.6	%		52.8	%		53.3	%		62.1	%		62.1	%
Prior years								-10.7	%		0.4	%		573.0	%		-5.3	%		-5.3	%
								53.9	%		53.2	%		626.3	%		56.8	%		56.8	%
Expense								28.8	%		47.6	%		621.4	%		35.8	%		35.8	%
Combined								82.7	%		100.8	%		1247.7	%		92.6	%		92.6	%

16