EXHIBIT 99.2
[PLATINUM UNDERWRITERS HOLDINGS, LTD.LOGO]
FINANCIAL SUPPLEMENT
FINANCIAL INFORMATION
AS OF MARCH 31, 2004
(UNAUDITED)
To assist in your understanding of the Company, the following supplement of
information concerning Platinum Underwriters Holdings, Ltd. is provided.
This report is for informational purposes only. It should be read in
conjunction with documents filed by Platinum Underwriters Holdings, Ltd.
with the SEC, including the Company's Annual Report on Form 10-K and
Quarterly Report on Form 10-Q.
Our Investors Relations Department can be reached at (441) 298-0753.
PLATINUM UNDERWRITERS HOLDINGS, LTD.
OVERVIEW
MARCH 31, 2004
ADDRESS:
Platinum Underwriters Holdings, Ltd.
The Belvedere Building
69 Pitts Bay Road
Pembroke HM 08
Bermuda
INVESTOR INFORMATION:
Justin Cressall
Senior Vice President and Treasurer
Tel: (441) 298-0753
Fax: (441) 296-0528
WEBSITE:
www.platinumre.com
PUBLICLY TRADED SECURITIES:
Common Shares (NYSE: PTP)
Equity Security Units (NYSE: PTP PR M)
Page 1 of 19
PLATINUM UNDERWRITERS HOLDINGS, LTD.
TABLE OF CONTENTS
MARCH 31, 2004
PAGE: SECTION:
3 Condensed Consolidated Balance Sheets
4 Consolidated Statements of Income and Comprehensive Income - Summary
5 Consolidated Statements of Income and Comprehensive Income - by Quarter
6 Computation of Basic and Diluted Earnings Per Share - Summary
7 Computation of Basic and Diluted Earnings Per Share - by Quarter
8 Condensed Statements of Cash Flows - Summary
9 Condensed Statements of Cash Flows - by Quarter
10 Segment Reporting - Summary
11 Property Segment - by Quarter
12 Casualty Segment - by Quarter
13 Finite Risk Segment - by Quarter
14 Net Premiums Written - Supplemental Information
15 Premiums by Line of Business
16 Company Ratios, Share Data, Ratings
17 Investment Portfolio
18 Investment Portfolio - Net Realized Capital Gains (Losses)
19 Loss Analysis
Page 2 of 19
PLATINUM UNDERWRITERS HOLDINGS, LTD.
CONDENSED CONSOLIDATED BALANCE SHEETS
MARCH 31, 2004
($ IN THOUSANDS, EXCEPT PER SHARE DATA)
March 31, 2004 December 31, 2003 September 30, 2003 June 30, 2003 March 31, 2003
-------------- ----------------- ------------------ ------------- --------------
ASSETS
Investments and cash and cash equivalents $ 2,027,093 1,790,509 1,756,685 1,621,430 $ 1,493,720
Receivables 643,970 487,916 478,303 476,018 326,074
Accrued investment income 22,805 17,492 21,360 13,286 16,300
Reinsurance balances (prepaid and recoverable) 17,430 11,231 10,064 9,638 2,557
Deferred acquisition costs 115,924 79,307 89,062 82,435 70,454
Other assets 80,522 95,406 80,158 54,297 92,083
-------------- ----------------- ------------------ ------------- --------------
Total assets $ 2,907,744 2,481,861 2,435,632 2,257,104 $ 2,001,188
============== ================= ================== ============= ==============
LIABILITIES
Unpaid losses and loss adjustment expenses $ 835,734 736,934 660,790 533,310 $ 417,372
Unearned premiums 471,359 305,985 358,995 351,759 314,492
Debt obligations 137,500 137,500 137,500 137,500 137,500
Commissions payable 228,964 176,310 155,724 154,831 106,128
Other liabilities 91,170 57,929 95,617 75,816 69,657
-------------- ----------------- ------------------ ------------- --------------
Total liabilities 1,764,727 1,414,658 1,408,626 1,253,216 1,045,149
TOTAL SHAREHOLDERS' EQUITY 1,143,017 1,067,203 1,027,006 1,003,888 956,039
-------------- ----------------- ------------------ ------------- --------------
Total liabilities and shareholders'
equity 2,907,744 2,481,861 2,435,632 2,257,104 $ 2,001,188
============== ================= ================== ============= ==============
-------------- ----------------- ------------------ ------------- --------------
BOOK VALUE PER SHARE $ 26.42 24.79 23.87 23.34 $ 22.23
============== ================= ================== ============= ==============
Page 3 of 19
PLATINUM UNDERWRITERS HOLDINGS, LTD.
CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME - SUMMARY
(AMOUNTS IN THOUSANDS, EXCEPT PER SHARE AMOUNTS)
Three Months Ended Three Months Ended
March 31, 2004 March 31, 2003
------------------ ------------------
REVENUES
Net premiums earned $ 321,042 $ 238,069
Net investment income 17,484 14,203
Net realized capital gains 452 744
Other income 511 1,150
------------------ ------------------
Total revenues 339,489 254,166
------------------ ------------------
EXPENSES
Losses and loss adjustment expenses 161,969 138,803
Acquisition expenses 88,921 51,719
Other underwriting expenses 15,804 17,214
Corporate expenses 2,970 2,955
Net foreign currency exchange (gains) losses (866) 75
Interest expense 2,306 2,468
------------------ ------------------
Total expenses 271,104 213,234
------------------ ------------------
Income before income tax expense 68,385 40,932
Income tax expense 13,571 10,346
------------------ ------------------
NET INCOME $ 54,814 $ 30,586
================== ==================
BASIC
Weighted average shares outstanding 43,143 43,004
Basic earnings per share $ 1.27 $ 0.71
DILUTED
Weighted average shares outstanding 50,984 49,008
Diluted earnings per share $ 1.10 $ 0.66
COMPREHENSIVE INCOME
Net income $ 54,814 $ 30,586
Other comprehensive income, net of tax 19,144 7,647
------------------ ------------------
Comprehensive income $ 73,958 $ 38,233
================== ==================
Page 4 of 19
PLATINUM UNDERWRITERS HOLDINGS, LTD.
CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME - BY QUARTER
(AMOUNTS IN THOUSANDS, EXCEPT PER SHARE AMOUNTS)
Three Months Ended
------------------------------------------------------------------------------------
March 31, 2004 December 31, 2003 September 30, 2003 June 30, 2003 March 31, 2003
-------------- ----------------- ------------------ ------------- --------------
REVENUES
Net premiums earned $ 321,042 277,817 272,265 279,376 $ 238,069
Net investment income 17,484 15,231 14,780 13,431 14,203
Net realized capital gains 452 10 1,508 519 744
Other income (expense) 511 (1,100) 544 2,749 1,150
-------------- ----------------- ------------------ ------------- --------------
Total revenues 339,489 291,958 289,097 296,075 254,166
-------------- ----------------- ------------------ ------------- --------------
EXPENSES
Losses and loss adjustment expenses 161,969 131,359 157,208 156,801 138,803
Acquisition expenses 88,921 78,723 60,408 60,376 51,719
Other underwriting expenses 15,804 17,575 15,093 19,646 17,214
Corporate expenses 2,970 3,357 3,406 13,349 2,955
Net foreign currency exchange (gains)
losses (866) (3,341) (1,356) 4,736 75
Interest expense 2,306 2,342 2,444 2,238 2,468
-------------- ----------------- ------------------ ------------- --------------
Total expenses 271,104 230,015 237,203 257,146 213,234
-------------- ----------------- ------------------ ------------- --------------
Income before income tax expense 68,385 61,943 51,894 38,929 40,932
Income tax expense 13,571 12,128 14,077 12,324 10,346
-------------- ----------------- ------------------ ------------- --------------
NET INCOME $ 54,814 49,815 37,817 26,605 $ 30,586
============== ================= ================== ============= ==============
BASIC
Weighted average shares outstanding 43,143 43,043 43,022 43,004 43,004
Basic earnings per share $ 1.27 1 0.88 0.62 $ 0.71
DILUTED
Weighted average shares outstanding 50,984 49,868 48,876 48,871 49,008
Diluted earnings per share $ 1.10 1.03 0.81 0.57 $ 0.66
COMPREHENSIVE INCOME
Net income $ 54,814 49,815 37,817 26,605 $ 30,586
Other comprehensive income (loss), net
of tax 19,144 (7,815) (11,984) 20,345 7,647
-------------- ----------------- ------------------ ------------- --------------
Comprehensive income $ 73,958 42,000 25,833 46,950 $ 38,233
============== ================= ================== ============= ==============
Page 5 of 19
PLATINUM UNDERWRITERS HOLDINGS, LTD.
COMPUTATION OF BASIC AND DILUTED EARNINGS PER SHARE - SUMMARY
(AMOUNTS IN THOUSANDS, EXCEPT PER SHARE AMOUNTS)
Three Months Ended Three Months Ended
March 31, 2004 March 31, 2003
------------------ ------------------
EARNINGS:
BASIC:
Net income $ 54,814 $ 30,586
------------------ ------------------
Net income available to common shareholders 54,814 30,586
================== ==================
DILUTED:
Net income 54,814 30,586
Effect of dilutive securities:
Equity security units 1,522 1,633
------------------ ------------------
Net income available to common shareholders $ 56,336 $ 32,219
================== ==================
COMMON SHARES:
BASIC:
Weighted average shares outstanding 43,143 43,004
================== ==================
DILUTED:
Weighted average shares outstanding 43,143 43,004
Effect of dilutive securities:
Share options 2,759 279
Equity security units 5,009 5,725
Restricted stock units 73 -
------------------ ------------------
Weighted average, as adjusted 50,984 49,008
================== ==================
EARNINGS PER SHARE:
Basic $ 1.27 $ 0.71
================== ==================
Diluted $ 1.10 $ 0.66
================== ==================
Page 6 of 19
PLATINUM UNDERWRITERS HOLDINGS, LTD.
COMPUTATION OF BASIC AND DILUTED EARNINGS PER SHARE - BY QUARTER
(AMOUNTS IN THOUSANDS, EXCEPT PER SHARE AMOUNTS)
Three Months Ended
------------------------------------------------------------------------------------
March 31, 2004 December 31, 2003 September 30, 2003 June 30, 2003 March 31, 2003
-------------- ----------------- ------------------ ------------- --------------
EARNINGS:
BASIC:
Net income $ 54,814 49,815 37,817 26,605 $ 30,586
-------------- ----------------- ------------------ ------------- --------------
Net income available to common shareholders 54,814 49,815 37,817 26,605 30,586
============== ================= ================== ============= ==============
DILUTED:
Net income 54,814 49,815 37,817 26,605 30,586
Effect of dilutive securities:
Equity security units 1,522 1,547 1,628 1,481 1,633
-------------- ----------------- ------------------ ------------- --------------
Net income available to common shareholders $ 56,336 51,362 39,445 28,086 $ 32,219
============== ================= ================== ============= ==============
COMMON SHARES:
BASIC:
Weighted average shares outstanding 43,143 43,043 43,022 43,004 43,004
============== ================= ================== ============= ==============
DILUTED:
Weighted average shares outstanding 43,143 43,043 43,022 43,004 43,004
Effect of dilutive securities:
Share options 2,759 1,816 767 659 279
Equity security units 5,009 5,009 5,087 5,208 5,725
Restricted stock units 73 - - - -
-------------- ----------------- ------------------ ------------- --------------
Weighted average, as adjusted 50,984 49,868 48,876 48,871 49,008
============== ================= ================== ============= ==============
EARNINGS PER SHARE:
Basic $ 1.27 1.16 0.88 0.62 $ 0.71
============== ================= ================== ============= ==============
Diluted $ 1.10 1.03 0.81 0.57 $ 0.66
============== ================= ================== ============= ==============
Page 7 of 19
PLATINUM UNDERWRITERS HOLDINGS, LTD.
CONDENSED STATEMENTS OF CASH FLOWS - SUMMARY
($ IN THOUSANDS)
Three Months Ended Three Months Ended
March 31, 2004 March 31, 2003
------------------ ------------------
NET CASH PROVIDED BY OPERATIONS $ 220,715 $ 181,646
NET CASH USED IN INVESTING ACTIVITIES (128,005) (299,405)
NET CASH PROVIDED BY (USED IN) FINANCING ACTIVITIES 1,352 (3,440)
------------------ ------------------
NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS $ 94,062 $ (121,199)
================== ==================
Page 8 of 19
PLATINUM UNDERWRITERS HOLDINGS, LTD.
CONDENSED STATEMENTS OF CASH FLOWS - BY QUARTER
($ IN THOUSANDS)
Three Months Ended
------------------------------------------------------------------------------------
March 31, 2004 December 31, 2003 September 30, 2003 June 30, 2003 March 31, 2003
-------------- ----------------- ------------------ ------------- --------------
NET CASH PROVIDED BY (USED IN) OPERATIONS $ 220,715 (23,804) 145,217 80,248 $ 181,646
NET CASH USED IN INVESTING ACTIVITIES (128,005) (11,422) (123,474) (112,462) (299,405)
NET CASH PROVIDED BY (USED IN) FINANCING
ACTIVITIES 1,352 (2,766) (2,923) (3,440) (3,440)
-------------- ----------------- ------------------ ------------- --------------
NET INCREASE (DECREASE) IN CASH AND CASH
EQUIVALENTS $ 94,062 (37,992) 18,820 (35,654) $ (121,199)
============== ================= ================== ============= ==============
Page 9 of 19
PLATINUM UNDERWRITERS HOLDINGS, LTD.
SEGMENT REPORTING - SUMMARY
($ IN THOUSANDS)
Three Months Ended March 31, 2004
-------------------------------------------------
Property and
Marine Casualty Finite Risk Total
------------ -------- ----------- ---------
Net premiums written $ 171,294 223,965 84,847 $ 480,106
Net premiums earned 118,065 136,222 66,755 321,042
------------ -------- ----------- ---------
Losses and loss adjustment expenses 48,578 94,784 18,607 161,969
Acquisition expenses 21,752 34,836 32,333 88,921
Other underwriting expenses 8,150 5,057 2,597 15,804
------------ -------- ----------- ---------
Total underwriting expenses 78,480 134,677 53,537 266,694
------------ -------- ----------- ---------
Segment underwriting income $ 39,585 1,545 13,218 54,348
------------ -------- -----------
Net investment income 17,484
Net realized capital gains (losses) 452
Net foreign currency exchange gains (losses) 866
Other income 511
Corporate expenses (2,970)
Interest expense (2,306)
---------
Income before income tax expense $ 68,385
=========
GAAP underwriting ratios:
Loss and loss adjustment expense 41.1% 69.6% 27.9% 50.5%
Acquisition expense 18.4% 25.6% 48.4% 27.7%
Other underwriting expense 6.9% 3.7% 3.9% 4.9%
------------ -------- ----------- ---------
Combined 66.4% 98.9% 80.2% 83.1%
------------ -------- ----------- ---------
Statutory underwriting ratios:
Loss and loss adjustment expense 41.1% 69.6% 27.9% 50.5%
Acquisition expense 17.4% 25.6% 45.3% 26.1%
Other underwriting expense 4.8% 2.3% 3.1% 3.3%
------------ -------- ----------- ---------
Combined 63.3% 97.5% 76.3% 79.9%
------------ -------- ----------- ---------
Three Months Ended March 31, 2003
----------------------------------------------
Property and Finite
Marin Casualty Risk Total
------------ -------- -------- ---------
Net premiums written $ 117,767 113,694 128,630 $ 360,091
Net premiums earned 89,932 77,726 70,411 238,069
------------ -------- -------- ---------
Losses and loss adjustment expenses 41,585 53,907 43,311 138,803
Acquisition expenses 15,618 19,029 17,072 51,719
Other underwriting expenses 10,459 4,618 2,137 17,214
------------ -------- -------- ---------
Total underwriting expenses 67,662 77,554 62,520 207,736
------------ -------- -------- ---------
Segment underwriting income $ 22,270 172 7,891 30,333
------------ -------- --------
Net investment income 14,203
Net realized capital gains (losses) 744
Net foreign currency exchange gains (losses) (75)
Other income 1,150
Corporate expenses (2,955)
Interest expense (2,468)
---------
Income before income tax expense $ 40,932
=========
GAAP underwriting ratios:
Loss and loss adjustment expense 46.2% 69.4% 61.5% 58.3%
Acquisition expense 17.4% 24.5% 24.2% 21.7%
Other underwriting expense 11.6% 5.9% 3.0% 7.2%
------------ -------- -------- ---------
Combined 75.2% 99.8% 88.7% 87.2%
------------ -------- -------- ---------
Statutory underwriting ratios:
Loss and loss adjustment expense 46.2% 69.4% 61.5% 58.3%
Acquisition expense 15.2% 23.9% 21.6% 20.2%
Other underwriting expense 8.9% 4.1% 1.7% 4.8%
------------ -------- -------- ---------
Combined 70.3% 97.4% 84.8% 83.3%
------------ -------- -------- ---------
The GAAP underwriting ratios are calculated by dividing each item above by net
premiums earned.
The Statutory Underwriting ratios are based on statutory accounting principles
and are calculated as follows:
(1) Losses & loss adjustment expenses are divided by net premiums earned;
(2) Acquisition expenses are divided by net premiums written and exclude
changes in deferred acquisition costs; and
(3) Other underwriting expenses are divided by net premiums written.
Page 10 of 19
PLATINUM UNDERWRITERS HOLDINGS, LTD.
PROPERTY SEGMENT - BY QUARTER
($ IN THOUSANDS)
Three Months Ended
------------------------------------------------------------------------------------
March 31, 2004 December 31, 2003 September 30, 2003 June 30, 2003 March 31, 2003
-------------- ----------------- ------------------ ------------- --------------
Net premiums written $ 171,294 74,540 77,114 83,487 $ 117,767
Net premiums earned 118,065 90,505 81,113 94,006 89,932
-------------- ----------------- ------------------ ------------- --------------
Losses and loss adjustment expenses 48,578 34,653 41,237 52,469 41,585
Acquisition expenses 21,752 13,420 9,930 13,186 15,618
Other underwriting expenses 8,150 7,355 7,412 10,372 10,459
-------------- ----------------- ------------------ ------------- --------------
Total underwriting expenses 78,480 55,428 58,579 76,027 67,662
-------------- ----------------- ------------------ ------------- --------------
Segment underwriting income $ 39,585 35,077 22,534 17,979 $ 22,270
-------------- ----------------- ------------------ ------------- --------------
GAAP underwriting ratios:
Loss and loss adjustment expense 41.1% 38.3% 50.8% 55.8% 46.2%
Acquisition expense 18.4% 14.8% 12.2% 14.0% 17.4%
Other underwriting expense 6.9% 8.1% 9.1% 11.0% 11.6%
-------------- ----------------- ------------------ ------------- --------------
Combined 66.4% 61.2% 72.1% 80.8% 75.2%
-------------- ----------------- ------------------ ------------- --------------
Statutory underwriting ratios:
Loss and loss adjustment expense 41.1% 38.3% 50.8% 55.8% 46.2%
Acquisition expense 17.4% 15.1% 11.2% 15.5% 15.2%
Other underwriting expense 4.8% 9.9% 9.6% 12.4% 8.9%
-------------- ----------------- ------------------ ------------- --------------
Combined 63.3% 63.3% 71.6% 83.7% 70.3%
-------------- ----------------- ------------------ ------------- --------------
The GAAP underwriting ratios are calculated by dividing each item above by net
premiums earned.
The Statutory Underwriting ratios are based on statutory accounting principles
and are calculated as follows:
(1) Losses & loss adjustment expenses are divided by net premiums earned;
(2) Acquisition expenses are divided by net premiums written and exclude
changes in deferred acquisition costs; and
(3) Other underwriting expenses are divided by net premiums written.
Page 11 of 19
PLATINUM UNDERWRITERS HOLDINGS, LTD.
CASUALTY SEGMENT - BY QUARTER
($ IN THOUSANDS)
Three Months Ended
------------------------------------------------------------------------------------
March 31, 2004 December 31, 2003 September 30, 2003 June 30, 2003 March 31, 2003
-------------- ----------------- ------------------ ------------- --------------
Net premiums written $ 223,965 92,995 134,991 132,320 $ 113,694
Net premiums earned 136,222 101,195 106,298 105,951 77,726
-------------- ----------------- ------------------ ------------- --------------
Losses and loss adjustment expenses 94,784 67,347 71,052 74,530 53,907
Acquisition expenses 34,836 26,062 29,465 26,449 19,029
Other underwriting expenses 5,057 6,835 5,065 4,542 4,618
-------------- ----------------- ------------------ ------------- --------------
Total underwriting expenses 134,677 100,244 105,582 105,521 77,554
-------------- ----------------- ------------------ ------------- --------------
Segment underwriting income $ 1,545 951 716 430 $ 172
-------------- ----------------- ------------------ ------------- --------------
GAAP underwriting ratios:
Loss and loss adjustment expense 69.6% 66.6% 66.8% 70.3% 69.4%
Acquisition expense 25.6% 25.8% 27.7% 25.0% 24.5%
Other underwriting expense 3.7% 6.7% 4.8% 4.3% 5.9%
-------------- ----------------- ------------------ ------------- --------------
Combined 98.9% 99.1% 99.3% 99.6% 99.8%
-------------- ----------------- ------------------ ------------- --------------
Statutory underwriting ratios:
Loss and loss adjustment expense 69.6% 66.6% 66.8% 70.3% 69.4%
Acquisition expense 25.6% 26.1% 28.0% 27.5% 23.9%
Other underwriting expense 2.3% 7.3% 3.8% 3.4% 4.1%
-------------- ----------------- ------------------ ------------- --------------
Combined 97.5% 100.0% 98.6% 101.2% 97.4%
-------------- ----------------- ------------------ ------------- --------------
The GAAP underwriting ratios are calculated by dividing each item above by net
premiums earned.
The Statutory Underwriting ratios are based on statutory accounting principles
and are calculated as follows:
(1) Losses & loss adjustment expenses are divided by net premiums earned;
(2) Acquisition expenses are divided by net premiums written and exclude
changes in deferred acquisition costs; and
(3) Other underwriting expenses are divided by net premiums written.
Page 12 of 19
PLATINUM UNDERWRITERS HOLDINGS, LTD.
FINITE RISK SEGMENT - BY QUARTER
($ IN THOUSANDS)
Three Months Ended
------------------------------------------------------------------------------------
March 31, 2004 December 31, 2003 September 30, 2003 June 30, 2003 March 31, 2003
-------------- ----------------- ------------------ ------------- --------------
Net premiums written $ 84,847 55,957 69,211 91,436 $ 128,630
Net premiums earned 66,755 86,117 84,854 79,419 70,411
-------------- ----------------- ------------------ ------------- --------------
Losses and loss adjustment expenses 18,607 29,359 44,919 29,802 43,311
Acquisition expenses 32,333 39,241 21,013 20,741 17,072
Other underwriting expenses 2,597 3,385 2,616 4,732 2,137
-------------- ----------------- ------------------ ------------- --------------
Total underwriting expenses 53,537 71,985 68,548 55,275 62,520
-------------- ----------------- ------------------ ------------- --------------
Segment underwriting income $ 13,218 14,132 16,306 24,144 $ 7,891
-------------- ----------------- ------------------ ------------- --------------
GAAP underwriting ratios:
Loss and loss adjustment expense 27.9% 34.1% 52.9% 37.5% 61.5%
Acquisition expense 48.4% 45.6% 24.8% 26.1% 24.2%
Other underwriting expense 3.9% 3.9% 3.1% 6.0% 3.0%
-------------- ----------------- ------------------ ------------- --------------
Combined 80.2% 83.6% 80.8% 69.6% 88.7%
-------------- ----------------- ------------------ ------------- --------------
Statutory underwriting ratios:
Loss and loss adjustment expense 27.9% 34.1% 52.9% 37.5% 61.5%
Acquisition expense 45.3% 59.2% 29.8% 24.7% 21.6%
Other underwriting expense 3.1% 6.0% 3.8% 5.2% 1.7%
-------------- ----------------- ------------------ ------------- --------------
Combined 76.3% 99.3% 86.5% 67.4% 84.8%
-------------- ----------------- ------------------ ------------- --------------
The GAAP underwriting ratios are calculated by dividing each item above by net
premiums earned.
The Statutory Underwriting ratios are based on statutory accounting principles
and are calculated as follows:
(1) Losses & loss adjustment expenses are divided by net premiums earned;
(2) Acquisition expenses are divided by net premiums written and exclude
changes in deferred acquisition costs; and
(3) Other underwriting expenses are divided by net premiums written.
Page 13 of 19
PLATINUM UNDERWRITERS HOLDINGS, LTD.
NET PREMIUMS WRITTEN - SUPPLEMENTAL INFORMATION
($ IN THOUSANDS)
Three Months Ended Three Months Ended
March 31, 2004 March 31, 2003
------------------ ------------------
Property and Marine:
Excess-of-loss $ 127,156 $ 89,580
Proportional 44,138 28,187
------------------ ------------------
Subtotal Property and Marine 171,294 117,767
------------------ ------------------
Casualty:
Excess-of-loss 190,547 100,684
Proportional 33,418 13,010
------------------ ------------------
Subtotal Casualty 223,965 113,694
------------------ ------------------
Finite Risk:
Excess-of-loss 69,790 103,630
Proportional 15,057 25,000
------------------ ------------------
Subtotal Finite Risk 84,847 128,630
------------------ ------------------
Total:
Excess-of-loss 387,493 293,894
Proportional 92,613 66,197
------------------ ------------------
TOTAL $ 480,106 $ 360,091
================== ==================
Three Months Ended Three Months Ended
March 31, 2004 March 31, 2003
------------------ ------------------
Property and Marine:
United States $ 74,823 $ 67,134
International 96,471 50,633
------------------ ------------------
Subtotal Property and Marine 171,294 117,767
------------------ ------------------
Casualty:
United States 184,358 98,867
International 39,607 14,827
------------------ ------------------
Subtotal Casualty 223,965 113,694
------------------ ------------------
Finite Risk:
United States 47,858 108,233
International 36,989 20,397
------------------ ------------------
Subtotal Finite Risk 84,847 128,630
------------------ ------------------
Total:
United States 307,039 274,234
International 173,067 85,857
------------------ ------------------
TOTAL $ 480,106 $ 360,091
================== ==================
Page 14 of 19
PLATINUM UNDERWRITERS HOLDINGS, LTD.
PREMIUMS BY LINE OF BUSINESS
($ IN THOUSANDS)
Three Months Ended March 31, 2004 Three Months Ended March 31, 2003
--------------------------------- ---------------------------------
Gross Net Net Gross Net Net
Premiums Premiums Premiums Premiums Premiums Premiums
Written Written Earned Written Written Earned
--------- --------- --------- --------- --------- ---------
Property and Marine:
North American Property Proportional $ 15,584 15,584 $ 14,321 $ 11,434 11,434 $ 10,669
North American Property Catastrophe 14,773 12,912 13,416 10,535 8,143 8,981
North American Property Risk 23,431 23,431 22,139 15,142 15,142 14,823
Other Property 22,896 22,896 19,996 13,571 13,571 13,900
Marine / Aviation Proportional 2,316 2,316 1,695 459 459 1,116
Marine / Aviation Excess 24,258 22,807 15,484 16,552 15,539 14,000
International Property Proportional 8,204 8,204 5,336 2,837 2,837 3,664
International Property Catastrophe 58,493 51,536 20,328 44,681 43,451 20,322
International Property Risk 11,608 11,608 5,350 7,253 7,191 2,457
--------- --------- --------- --------- ---------
Subtotal 181,563 171,294 118,065 122,464 117,767 89,932
--------- --------- --------- --------- --------- ---------
Casualty:
Clash 6,831 6,831 7,426 5,141 5,141 3,568
1st $ GL 7,863 7,863 6,551 4,693 4,693 3,017
1st $ Other 590 590 424 40,378 40,378 30,314
Casualty Excess 116,408 116,408 82,764 25,741 25,741 22,646
Accident & Health 47,827 47,827 22,670 20,572 20,572 10,168
International Casualty 9,474 9,474 4,981 2,605 2,605 1,294
International Motor 15,821 14,902 5,976 15,044 14,564 6,719
Financial Lines 20,070 20,070 5,430 - - -
--------- --------- --------- --------- --------- ---------
Subtotal 224,884 223,965 136,222 114,174 113,694 77,726
--------- --------- --------- --------- --------- ---------
Finite Risk:
Finite Property 15,923 15,923 21,494 28,605 28,605 14,473
Finite Casualty 53,867 53,867 15,452 11,525 11,525 6,938
Finite Accident & Health 15,057 15,057 29,809 88,500 88,500 49,000
--------- --------- --------- --------- --------- ---------
Subtotal 84,847 84,847 66,755 128,630 128,630 70,411
--------- --------- --------- --------- --------- ---------
TOTAL $ 491,294 480,106 $ 321,042 $ 365,268 360,091 $ 238,069
========= ========= ========= ========= ========= =========
Page 15 of 19
PLATINUM UNDERWRITERS HOLDINGS, LTD.
COMPANY RATIOS, SHARE DATA, RATINGS
As of and for the Three Months Ended
------------------------------------------------------------------------------------
March 31, 2004 December 31, 2003 September 30, 2003 June 30, 2003 March 31, 2003
-------------- ----------------- ------------------ ------------- --------------
GAAP Basis Ratios %:
Combined 83.1% 81.9% 85.4% 84.7% 87.2%
Debt to Total Capital 10.7% 11.4% 11.8% 12.0% 12.6%
Net Premiums Written (annualized) to
Shareholders' Equity 1.68 0.84 1.10 1.22 1.51
Share Data:
Book Value Per Share $ 26.42 24.79 23.87 23.34 $ 22.23
Common Shares Outstanding 43,268,025 43,054,125 43,024,000 43,004,000 43,004,000
Market Price Per Share:*
High $ 34.02 32.05 28.55 28.51 $ 26.30
Low 29.86 26.80 25.66 24.08 21.50
Close $ 32.05 30.00 28.10 27.14 $ 25.35
Industry Ratings:
A.M. Best A A A A A
Supplemental Data:
Total Employees 156 155 152 158 158
* Based on closing prices during the periods
Page 16 of 19
PLATINUM UNDERWRITERS HOLDINGS, LTD.
INVESTMENT PORTFOLIO
($ IN THOUSANDS)
Weighted Weighted
Average Average
March 31, 2004 Book Yield December 31, 2003 Book Yield
-------------- ---------- ----------------- ----------
Fixed Maturities:
US Government and US Government agencies $ 73,985 4.8% $ 5,032 2.5%
Tax exempt municipal bonds 119,963 3.0% 92,044 3.0%
Corporate bonds 1,114,443 4.1% 1,103,100 3.9%
Mortgage and asset-backed securities 232,747 4.8% 268,375 4.9%
Foreign governments and foreign corporate bonds 275,951 4.7% 205,905 4.5%
-------------- -----------------
Total Bonds 1,817,089 4.2% 1,674,456 4.1%
Redeemable Preferred Stock 3,732 6.0% 3,682 6.0%
-------------- -----------------
TOTAL FIXED MATURITIES $ 1,820,821 4.2% $ 1,678,138 4.1%
============== =================
March 31, 2004 December 31, 2003
------------------------ -------------------------
Amount % of Total Amount % of Total
----------- ---------- ------------ ----------
Credit Quality of Investment Grades:*
Aaa $ 485,868 26.7% $ 435,282 25.9%
Aa 325,928 17.9% 317,274 18.9%
A 926,401 50.9% 853,276 50.9%
Baa 82,624 4.5% 72,306 4.3%
----------- ---------- ------------ ----------
TOTAL $ 1,820,821 100.0% $ 1,678,138 100.0%
=========== ========== ============ ==========
Credit Quality:
Weighted average credit quality Aa3 Aa3
* Rated using external rating agencies (Moody's).
(Aaa-Best Quality; Aa-High Quality; A-Upper to Medium Quality, Baa - Investment
Grade)
Page 17 of 19
PLATINUM UNDERWRITERS HOLDINGS, LTD.
INVESTMENT PORTFOLIO - NET REALIZED CAPITAL GAINS (LOSSES)
($ IN THOUSANDS)
Three Months Ended Three Months Ended
March 31, 2004 March 31, 2003
------------------ ------------------
Net realized capital gains (losses):
United States $ 76 $ 246
United Kingdom (3) 109
Bermuda 379 389
------------------ ------------------
TOTAL $ 452 $ 744
================== ==================
Page 18 of 19
PLATINUM UNDERWRITERS HOLDINGS, LTD.
LOSS ANALYSIS
($ IN THOUSANDS)
ANALYSIS OF LOSSES AND LOSS EXPENSES INCURRED:
--------------------------------------------------------------------------------
Three Months Ended March 31, 2004 Three Months Ended March 31, 2003
--------------------------------------- ---------------------------------------
Paid to Paid to
Gross Ceded Net Incurred % Gross Ceded Net Incurred %
--------- ----- --------- ---------- --------- ----- --------- ----------
Paid $ 64,611 228 $ 64,383 39.8% $ 7,982 - $ 7,982 5.8%
Change in unpaid losses and loss expenses 97,838 252 97,586 131,271 450 130,821
--------- ----- --------- --------- ----- ---------
Losses and loss expenses incurred $ 162,449 480 $ 161,969 $ 139,253 450 $ 138,803
--------- ----- --------- --------- ----- ---------
ANALYSIS OF UNPAID LOSSES AND LOSS ADJUSTMENT EXPENSES:
---------------------------------------------------------------
March 31, 2004 December 31, 2003
----------------------------- -----------------------------
Gross Ceded Net* Gross Ceded Net
--------- ----- --------- --------- ----- ---------
Outstanding losses and loss expenses $ 114,398 1,400 $ 112,998 $ 95,192 1,540 $ 93,652
Incurred but not reported 721,336 3,868 717,468 641,742 3,476 638,266
--------- ----- --------- --------- ----- ---------
Unpaid losses and loss adjustment expenses $ 835,734 5,268 $ 830,466 $ 736,934 5,016 $ 731,918
--------- ----- --------- --------- ----- ---------
* Includes effects of foreign currency exchange rate movements of $962
Page 19 of 19