Transatlantic (TRH) 8-K Transatlantic Holdings, Inc. Announces Second Quarter Net Income

Exhibit 99.1

Transatlantic Holdings, Inc. Announces Second Quarter Net Income

NEW YORK--(BUSINESS WIRE)--Transatlantic Holdings, Inc. (NYSE: TRH) today reported net income for the second quarter of 2008 of $89.7 million, or $1.34 per common share (diluted), compared to $125.7 million, or $1.89 per common share (diluted), in the second quarter of 2007. Net income for the first six months of 2008 totaled $205.4 million, or $3.08 per common share (diluted), compared to $232.9 million, or $3.50 per common share (diluted), in the first six months of 2007.

Income before income taxes for the second quarter of 2008 amounted to $106.9 million compared to $151.9 million in the second quarter of 2007. Income before income taxes for the first six months of 2008 amounted to $252.1 million compared to $288.5 million in the first six months of 2007.

In the second quarter of 2008 and 2007, income before income taxes includes pre-tax realized net capital (losses) gains of ($59.9) million and $1.9 million, respectively. For the six month periods, income before income taxes includes pre-tax realized net capital (losses) gains of ($74.9) million and $17.3 million in 2008 and 2007, respectively. Pre-tax realized net capital losses include write-downs to fair value for securities that were considered to be other than temporarily impaired totaling ($68.8) million and ($78.2) million in the second quarter and first six months of 2008, respectively. These write-downs principally related to certain domestic residential asset-backed fixed maturity securities, which are included in securities lending invested collateral, and, to a much lesser extent, certain equity securities. Such write-downs were due primarily to a severe decline in market values resulting from the current credit market disruption, for which TRH could not reasonably assert that the recovery period would be temporary. Write-downs were insignificant in the comparable 2007 periods.

There were no significant catastrophe costs in the second quarter or first six months of 2008. Income before income taxes in the second quarter and first six months of 2007 also includes estimated pre-tax net catastrophe costs of $13.9 million and $53.7 million, respectively. The computation of net catastrophe costs involves a significant amount of judgment and is based on information available at the time of estimation.

Robert F. Orlich, Chairman, President and Chief Executive Officer, said, “While our underwriting results improved compared to the year ago periods, due in part to the absence of significant catastrophe costs in 2008, our bottom line was significantly impacted by impairment write-downs resulting from the continuing disruption of the credit markets. Nonetheless, operating cash flows were strong and annualized GAAP return on equity for the first six months of 2008 was 12.2%.

“Net premiums written remained relatively flat in the second quarter compared to a year ago as price erosion persisted in many classes and regions. Terms and conditions generally held firm.

“We are pleased to have recently opened a representative office in Munich to better serve ceding companies in Germany and Austria. With financial strength and broad product and geographic diversity, Transatlantic remains well-positioned to respond effectively to the challenges facing us and the opportunities that continue to arise in today’s marketplace.”

Net premiums written for the second quarter of 2008 increased 0.6% to $988.5 million compared to $983.1 million in the second quarter of 2007. Net premiums written for the first six months of 2008 increased 2.9% to $2,024.1 million compared to $1,967.2 million in the first six months of 2007. (Refer to the table in the Consolidated Statistical Supplement presenting the effect of changes in foreign currency exchange rates on the increase in net premiums written between periods.) International business represented 50% of net premiums written in the first six months of 2008 versus 49% in the first six months of 2007.

Net losses and loss adjustment expenses incurred include estimated net favorable (adverse) development related to losses (including catastrophe events) occurring in prior years which totaled $2 million and ($18) million for the second quarter of 2008 and 2007, respectively, and ($1) million and ($36) million in the first six months of 2008 and 2007, respectively.

The combined ratio for the second quarter of 2008 was 94.3% versus 94.9% in the comparable 2007 quarter. The combined ratio for the first six months of 2008 was 94.2% versus 96.3% in the first six months of 2007. The aggregate net impact of pre-tax catastrophe costs and estimated net loss reserve development related to losses occurring in prior years (subtracted) added (0.2%) and 3.2% (from) to the combined ratio for the second quarter of 2008 and 2007, respectively, and 0.1% and 4.4% to the combined ratio for the first six months of 2008 and 2007, respectively.

Net loss and loss adjustment expense reserves increased $181.0 million during the second quarter of 2008, bringing the amount of such reserves to $7.32 billion at June 30, 2008. (Refer to the analysis of changes in net loss and loss adjustment expense reserves in the Consolidated Statistical Supplement for additional information.)

TRH’s loss ratio represents net losses and loss adjustment expenses incurred expressed as a percentage of net premiums earned. The underwriting expense ratio represents the sum of net commissions and other underwriting expenses expressed as a percentage of net premiums written. The combined ratio represents the sum of the loss ratio and the underwriting expense ratio. Net loss and loss adjustment expense reserves represent unpaid losses and loss adjustment expenses, net of related reinsurance recoverable. The combined ratio and its components, as well as net loss and loss adjustment expense reserves, are presented in accordance with principles prescribed or permitted by insurance regulatory authorities, as these are standard measures in the insurance and reinsurance industries. Annualized GAAP return on equity for the first six months of 2008 represents the first six months’ net income multiplied by two expressed as a percentage of average stockholders’ equity for the first six months of 2008.

Net investment income totaled $120.5 million in the second quarter of 2008 compared to $119.3 million in the second quarter of 2007. Net investment income totaled $237.7 million for the first six months of 2008 compared to $235.4 million for the first six months of 2007. At June 30, 2008, investments totaled $12.22 billion. (Refer to the analysis of net investment income in the Consolidated Statistical Supplement for additional information.)

At June 30, 2008, TRH’s consolidated assets and stockholders’ equity were $15.47 billion and $3.41 billion, respectively. Book value per common share was $51.46.

In the second quarter of 2008, the Board of Directors declared a quarterly cash dividend of $0.19 per common share to stockholders of record as of September 4, 2008, payable on September 18, 2008. This represents an 18.75% increase over the prior quarterly dividend.

Visit – www.transre.com – for additional information about TRH.

Caution concerning forward-looking statements:

This press release contains forward-looking statements, including management’s beliefs about market conditions and expectations regarding the aggregate net impact on operating results from recent catastrophe losses, within the meaning of the U.S. federal securities laws. These forward-looking statements are based on assumptions and opinions concerning a variety of known and unknown risks. Please refer to TRH’s Annual Report on Form 10-K for the year ended December 31, 2007 and the Quarterly Report on Form 10-Q for the quarter ended March 31, 2008 as well as its future filings and reports filed with or furnished to the Securities and Exchange Commission for a description of the business environment in which TRH operates and the important factors, risks and uncertainties that may affect its business and financial results. If any assumptions or opinions prove incorrect, any forward-looking statements made on that basis may also prove materially incorrect. TRH is not under any obligation to (and expressly disclaims any such obligations to) update or alter its forward-looking statements whether as a result of new information, future events or otherwise.

Transatlantic Holdings, Inc. (TRH) is a leading international reinsurance organization headquartered in New York, with operations on six continents. Its subsidiaries, Transatlantic Reinsurance Company^®, Trans Re Zurich and Putnam Reinsurance Company, offer reinsurance capacity on both a treaty and facultative basis ― structuring programs for a full range of property and casualty products, with an emphasis on specialty risks.

Transatlantic Holdings, Inc. and Subsidiaries
Consolidated Financial Data
Statement of Operations Data:
	Three Months Ended
	June 30,
	2008				2007				Change
	(in thousands, except per share data)
Revenues:
Net premiums written	$	988,524			$	983,084			0.6		%
Decrease (increase) in net unearned premiums		34,171				(34,974	)
Net premiums earned		1,022,695				948,110			7.9
Net investment income		120,493				119,264			1.0
Realized net capital (losses) gains		(59,868	)			1,882
Total revenues		1,083,320				1,069,256			1.3
Expenses:
Net losses and loss adjustment expenses		680,626				641,931
Net commissions		240,562				239,112
Other underwriting expenses		33,892				28,457
Decrease (increase) in deferred acquisition costs		5,296				(9,067	)
Interest on senior notes		10,858				10,855
Other, net		5,205				6,054
Total expenses		976,439				917,342
Income before income taxes		106,881				151,914			(29.6	)
Income taxes		17,148				26,252
Net income	$	89,733			$	125,662			(28.6	)
Net income per common share:
Basic	$	1.35			$	1.90			(28.8	)
Diluted		1.34				1.89			(28.8	)
Cash dividends per common share		0.190				0.160			18.8
Weighted average common
shares outstanding:
Basic		66,253				66,100
Diluted		66,780				66,629
Ratios:
Loss		66.5		%		67.7		%
Underwriting expense		27.8				27.2
Combined		94.3				94.9
Statement of Operations Data:
	Six Months Ended
	June 30,
	2008				2007				Change
	(in thousands, except per share data)
Revenues:
Net premiums written	$	2,024,137			$	1,967,248			2.9		%
Decrease (increase) in net unearned premiums		15,747				(54,017	)
Net premiums earned		2,039,884				1,913,231			6.6
Net investment income		237,702				235,421			1.0
Realized net capital (losses) gains		(74,919	)			17,279
Total revenues		2,202,667				2,165,931			1.7
Expenses:
Net losses and loss adjustment expenses		1,356,055				1,317,570
Net commissions		497,303				486,697
Other underwriting expenses		64,216				53,630
Decrease (increase) in deferred acquisition costs		(508	)			(13,423	)
Interest on senior notes		21,716				21,708
Other, net		11,785				11,220
Total expenses		1,950,567				1,877,402
Income before income taxes		252,100				288,529			(12.6	)
Income taxes		46,714				55,638
Net income	$	205,386			$	232,891			(11.8	)
Net income per common share:
Basic	$	3.10			$	3.52			(12.0	)
Diluted		3.08				3.50			(12.1	)
Cash dividends per common share		0.350				0.295			18.6
Weighted average common
shares outstanding:
Basic		66,247				66,075
Diluted		66,792				66,543
Ratios:
Loss		66.5		%		68.9		%
Underwriting expense		27.7				27.4
Combined		94.2				96.3

Transatlantic Holdings, Inc. and Subsidiaries
Consolidated Financial Data
As of June 30, 2008 and December 31, 2007
Balance Sheet Data:
	2008			2007
	(in thousands, except share data)
ASSETS
Investments:
Fixed maturities:
Held to maturity, at amortized cost (fair value: 2008-$1,255,094; 2007-$1,280,011)	$	1,247,829		$	1,249,935
Available for sale, at fair value (amortized cost: 2008-$8,363,404; 2007-$8,034,738) (pledged, at fair value: 2008-$1,633,066; 2007-$1,966,364)		8,247,774			8,099,252
Equities:
Available for sale, at fair value:
Common stocks (cost: 2008-$583,037; 2007-$572,468) (pledged, at fair value: 2008-$3,013; 2007-$21,900)		554,593			587,373
Nonredeemable preferred stocks (cost: 2008-$219,200; 2007-$224,298)		183,060			197,870
Trading: common stocks, at fair value (cost: 2008-$32,846; 2007-$35,916) (pledged, at fair value: 2008-$3,145; 2007-$2,144)		30,929			35,357
Other invested assets		275,802			250,921
Securities lending invested collateral, at fair value (amortized cost: 2008-$1,613,767; 2007-$2,053,271)		1,545,263			2,012,031
Short-term investments, at cost (approximates fair value)		130,053			67,801
Total investments		12,215,303			12,500,540
Cash and cash equivalents		400,716			255,432
Accrued investment income		150,237			143,675
Premium balances receivable, net		729,304			641,026
Reinsurance recoverable on paid and unpaid losses and loss adjustment expenses		957,798			1,074,643
Deferred acquisition costs		248,589			248,081
Prepaid reinsurance premiums		108,597			71,617
Deferred income taxes		533,196			426,600
Other assets		124,912			122,713
Total assets	$	15,468,652		$	15,484,327
LIABILITIES AND STOCKHOLDERS' EQUITY
Unpaid losses and loss adjustment expenses	$	8,244,694		$	7,926,261
Unearned premiums		1,261,068			1,226,647
Securities lending payable		1,677,627			2,054,649
5.75% senior notes due December 14, 2015:
Affiliates		448,250			448,158
Other		298,833			298,772
Other liabilities		128,645			180,798
Total liabilities		12,059,117			12,135,285
Preferred Stock, $1.00 par value; shares authorized: 5,000,000; none issued		-			-
Common Stock, $1.00 par value; shares authorized: 100,000,000; shares issued: 2008-67,249,352; 2007-67,222,470		67,249			67,222
Additional paid-in capital		260,904			249,853
Accumulated other comprehensive loss		(167,462	)		(34,692	)
Retained earnings		3,270,763			3,088,578
Treasury Stock, at cost; 988,900 shares of common stock		(21,919	)		(21,919	)
Total stockholders' equity		3,409,535			3,349,042
Total liabilities and stockholders' equity	$	15,468,652		$	15,484,327

Transatlantic Holdings, Inc. and Subsidiaries
Consolidated Financial Data
Condensed Cash Flow Data:
	Three Months Ended
	June 30,
	2008			2007
	(in thousands)
Net cash provided by operating activities	$	209,289		$	164,828
Cash flows from investing activities:
Proceeds of fixed maturities available for sale sold		667,867			354,325
Proceeds of fixed maturities available for sale redeemed or matured		227,158			162,993
Proceeds of equities available for sale sold		220,111			264,234
Purchase of fixed maturities available for sale		(940,329	)		(660,699	)
Purchase of equities available for sale		(223,349	)		(237,457	)
Net (purchase) sale of other invested assets		(24,250	)		1,721
Net change in securities lending invested collateral		408,717			15,900
Net purchase of short-term investments		(8,584	)		(1,854	)
Change in other liabilities for securities in course of settlement		(15,323	)		(101,337	)
Other, net		3,612			9,929
Net cash provided by (used in) investing activities		315,630			(192,245	)
Cash flows from financing activities:
Net change in securities lending payable		(408,717	)		(15,900	)
Dividends to stockholders		(10,601	)		(8,926	)
Proceeds from common stock issued		6			2,714
Other, net		939			335
Net cash used in financing activities		(418,373	)		(21,777	)
Effect of exchange rate changes on cash and cash equivalents		906			1,158
Change in cash and cash equivalents		107,452			(48,036	)
Cash and cash equivalents, beginning of period		293,264			271,691
Cash and cash equivalents, end of period	$	400,716		$	223,655
Supplemental cash flow information:
Income taxes paid, net	$	56,953		$	102,991
Interest paid on senior notes		21,563			21,563
Condensed Cash Flow Data:
	Six Months Ended
	June 30,
	2008			2007
	(in thousands)
Net cash provided by operating activities	$	493,427		$	359,577
Cash flows from investing activities:
Proceeds of fixed maturities available for sale sold		1,349,133			753,152
Proceeds of fixed maturities available for sale redeemed or matured		460,252			280,706
Proceeds of equities available for sale sold		457,142			541,427
Purchase of fixed maturities available for sale		(2,058,281	)		(1,328,700	)
Purchase of equities available for sale		(478,216	)		(527,621	)
Net (purchase) sale of other invested assets		(23,178	)		3,725
Net change in securities lending invested collateral		438,556			87,777
Net purchase of short-term investments		(58,318	)		(10,780	)
Change in other liabilities for securities in course of settlement		4,535			(29,922	)
Other, net		16,247			(9,037	)
Net cash provided by (used in) investing activities		107,872			(239,273	)
Cash flows from financing activities:
Net change in securities lending payable		(438,556	)		(87,777	)
Dividends to stockholders		(21,200	)		(17,842	)
Proceeds from common stock issued		381			2,979
Other, net		696			116
Net cash used in financing activities		(458,679	)		(102,524	)
Effect of exchange rate changes on cash and cash equivalents		2,664			611
Change in cash and cash equivalents		145,284			18,391
Cash and cash equivalents, beginning of period		255,432			205,264
Cash and cash equivalents, end of period	$	400,716		$	223,655
Supplemental cash flow information:
Income taxes paid, net	$	78,503		$	114,191
Interest paid on senior notes		21,563			21,563

Transatlantic Holdings, Inc. and Subsidiaries
Consolidated Financial Data
Comprehensive Income Data:
	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2008			2007			2008			2007
	(in thousands)
Net income	$	89,733		$	125,662		$	205,386		$	232,891
Other comprehensive loss:
Net unrealized depreciation of investments, net of tax:
Net unrealized holding losses		(107,068	)		(109,216	)		(323,174	)		(121,619	)
Deferred income tax benefit on above		37,471			38,225			113,110			42,567
Reclassification adjustment for losses (gains) included in net income		51,742			(11,599	)		60,687			(26,386	)
Deferred income tax (charge) benefit on above		(18,109	)		4,060			(21,240	)		9,235
		(35,964	)		(78,530	)		(170,617	)		(96,203	)
Net unrealized currency translation (loss) gain, net of tax:
Net unrealized currency translation (loss) gain		(28,481	)		14,468			58,226			30,157
Deferred income tax benefit (charge) on above		9,968			(5,064	)		(20,379	)		(10,555	)
		(18,513	)		9,404			37,847			19,602
Other comprehensive loss		(54,477	)		(69,126	)		(132,770	)		(76,601	)
Comprehensive income	$	35,256		$	56,536		$	72,616		$	156,290

Transatlantic Holdings, Inc. and Subsidiaries
Consolidated Statistical Supplement
Supplemental Premium Data:
	Three Months Ended								Six Months Ended
	June 30,								June 30,
	2008				2007				2008		2007
	(in thousands)
Net premiums written by office:
Domestic	$	455,197			$	493,941			$	1,003,319	$	1,009,980
International:
Europe:
London		208,790				196,971				416,228		390,273
Paris		102,961				84,380				194,443		171,536
Zurich		93,891				82,459				177,324		164,096
		405,642				363,810				787,995		725,905
Other:
Toronto		17,050				24,471				37,394		46,503
Miami (Latin America and the Caribbean)		65,235				57,896				118,462		112,084
Hong Kong		22,594				21,040				45,958		44,575
Tokyo		22,806				21,926				31,009		28,201
		127,685				125,333				232,823		231,363
Total international		533,327				489,143				1,020,818		957,268
Total net premiums written	$	988,524			$	983,084			$	2,024,137	$	1,967,248
Net effect of changes in foreign currency exchange rates on the increase in net premiums written in 2008 as compared to 2007:
	Three				Six
	Months Ended				Months Ended
	June 30,				June 30,
Decrease in original currency		(3.1	)	%		(0.9	)	%
Foreign exchange effect		3.7				3.8
Increase as reported in U.S. dollars		0.6		%		2.9		%

Transatlantic Holdings, Inc. and Subsidiaries
Consolidated Statistical Supplement
Supplemental Premium Data (continued):
Other net premiums written data (estimated):
	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2008			2007			2008			2007
Treaty		96.8	%		95.9	%		96.9	%		96.2	%
Facultative		3.2			4.1			3.1			3.8
		100.0	%		100.0	%		100.0	%		100.0	%
Property		31.5	%		30.2	%		29.8	%		29.9	%
Casualty		68.5			69.8			70.2			70.1
		100.0	%		100.0	%		100.0	%		100.0	%
Total gross premiums written (in thousands)	$	1,065,227		$	1,075,354		$	2,196,489		$	2,171,314
Source of gross premiums written:
Affiliates		14.5	%		13.9	%		13.3	%		14.0	%
Other		85.5			86.1			86.7			86.0
		100.0	%		100.0	%		100.0	%		100.0	%
Supplemental Net Loss and Loss Adjustment Expense Reserve Data:
Changes in net loss and loss adjustment expense reserves:
	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2008			2007			2008			2007
	(in millions)
Reserve for net unpaid losses and loss adjustment expenses at beginning of period	$	7,135.6		$	6,406.7		$	6,899.7		$	6,207.2
Net losses and loss adjustment expenses incurred		680.6			641.9			1,356.1			1,317.6
Net losses and loss adjustment expenses paid		522.4			637.8			991.7			1,106.0
Foreign exchange effect		22.8			39.7			52.5			31.7
Reserve for net unpaid losses and loss adjustment expenses at end of period	$	7,316.6		$	6,450.5		$	7,316.6		$	6,450.5

Transatlantic Holdings, Inc. and Subsidiaries
Consolidated Statistical Supplement
Supplemental Investment Data:
Net investment income:
	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2008			2007			2008				2007
	(in millions)
Fixed maturities	$	106.8		$	96.5		$	213.1			$	190.2
Equities		4.9			5.9			8.1				15.5
Other invested assets (including limited partnerships)		5.5			14.9			9.6				23.7
Other		6.2			4.0			12.1				10.4
Total investment income		123.4			121.3			242.9				239.8
Investment expenses		(2.9	)		(2.0	)		(5.2	)			(4.4	)
Net investment income	$	120.5		$	119.3		$	237.7			$	235.4
Investments by category:
				June 30, 2008
				Amount			Percent
				(dollars in thousands)
Fixed maturities:
Held to maturity (at amortized cost):
Municipalities				$	1,247,829			10.2		%
Available for sale (at fair value):
Corporate					2,192,983			17.9
U.S. Government and government agencies					342,977			2.8
Foreign government					303,635			2.5
Municipalities					5,373,334			44.0
Asset-backed securities					34,845			0.3
					8,247,774			67.5
Total fixed maturities					9,495,603			77.7
Equities:
Available for sale:
Common stocks					554,593			4.5
Nonredeemable preferred stocks					183,060			1.5
					737,653			6.0
Trading: common stocks					30,929			0.3
Total equities					768,582			6.3
Other invested assets					275,802			2.3
Securities lending invested collateral					1,545,263			12.6
Short-term investments					130,053			1.1
Total investments				$	12,215,303			100.0		%

Transatlantic Holdings, Inc. and Subsidiaries
Consolidated Statistical Supplement
Supplemental Investment Data (continued):
Fixed maturities portfolio data:
Ratings as of June 30, 2008:
	AAA			AA			A			BBB			Other (b)			Total
	(in millions)
Held to maturity:
Non-asset-backed (a)	$	585		$	613		$	50		$	-		$	-		$	1,248
Available for sale:
Asset-backed, principally commercial mortgage-backed		13			-			11			-			11			35
Non-asset-backed (a)		3,193			4,158			800			30			32			8,213
Total available for sale		3,206			4,158			811			30			43			8,248
Total fixed maturities	$	3,791		$	4,771		$	861		$	30		$	43		$	9,496
Percent of total fixed maturities		39.9	%		50.2	%		9.1	%		0.3	%		0.5	%		100.0	%
(a)Non-asset-backed fixed maturities in the aggregate include insured municipal bonds with ratings as follows:
	AAA			AA			A			BBB			Not Rated			Total
Insured rating	$	1,286		$	1,666		$	395		$	-		$	-		$	3,347
Underlying rating		265			2,221			808			49			4			3,347
(b)Consists of the following:
	BB			Not Rated			Total Other
Available for sale:
Asset-backed	$	10		$	1		$	11
Non-asset-backed		9			23			32
Total available for sale	$	19		$	24		$	43
Duration as of June 30, 2008: 5.9 years

Transatlantic Holdings, Inc. and Subsidiaries
Consolidated Statistical Supplement
Supplemental Investment Data (continued):
Securities lending invested collateral data (a):
Ratings of securities lending invested collateral as of June 30, 2008:
	AAA			AA			A			BB			Not Rated			Total
	(in millions)
Fixed maturities available for sale:
Asset-backed:
Domestic:
Commercial mortgage-backed	$	49.0		$	-		$	-		$	-		$	-		$	49.0
Residential:
Mortgage-backed:
Alt-A		88.6			-			-			-			-			88.6
Prime non-agency		35.2			-			-			-			-			35.2
HELOC		-			-			-			9.8			-			9.8
Other asset-backed		-			12.8			-			-			-			12.8
Total domestic		172.8			12.8			-			9.8			-			195.4
Foreign:
Commercial mortgage-backed		91.5			6.7			-			-			-			98.2
Residential mortgage-backed		312.9			19.5			-			-			-			332.4
Other asset-backed		49.3			-			-			-			-			49.3
Total foreign		453.7			26.2			-			-			-			479.9
Total asset-backed		626.5			39.0			-			9.8			-			675.3
Non-asset-backed		46.3			390.1			267.5			-			4.5			708.4
Total fixed maturities available for sale	$	672.8		$	429.1		$	267.5		$	9.8		$	4.5			1,383.7
Cash equivalents																	161.6
Total securities lending invested collateral (b)																$	1,545.3
Total securities lending invested collateral invested in fixed maturities available for sale by rating		48.6	%		31.0	%		19.4	%		0.7	%		0.3	%		100.0	%
(a)Information presented herein represents the fair value of underlying securities included on the Balance Sheet as securities lending invested collateral.
(b)At June 30, 2008, pre-tax net unrealized depreciation on the securities lending portfolio totaled $68.5 million. $48.4 million of such amount relates to asset-backed securities and $20.1 million relates to non-asset-backed securities.
Duration of fixed maturities available for sale included above as of June 30, 2008: 0.7 years

Transatlantic Holdings, Inc. and Subsidiaries
Consolidated Statistical Supplement
Supplemental Investment Data (continued):
Other investment data:
	Three Months Ended						Six Months Ended
	June 30,						June 30,
	2008			2007			2008		2007
Pre-tax yield on fixed maturity portfolio (a)		4.4	%		4.5	%	4.4	%	4.4	%
Effective tax rate on net investment income (b)		14.9	%		17.0	%	15.0	%	17.2	%
(a)Represents annualized pre-tax net investment income from fixed maturities (excluding fixed maturities included in securities lending invested collateral) for the periods indicated divided by the average balance sheet carrying value of the related fixed maturity portfolio for such periods.
(b)Represents the portion of income tax expense related to net investment income divided by net investment income.
Other Data:
	(Estimated)
	June 30,			December 31,
	2008			2007
	(in thousands)
Statutory surplus of Transatlantic Reinsurance Company®	$	3,592,000		$	3,368,801

CONTACT:
Transatlantic Holdings, Inc., New York
Steven S. Skalicky, 212-770-2040