Exhibit 99.1


ALLEGHANY CORPORATION
375 Park Avenue
New York, NY 10152

      Contact: Robert M. Hart
      (212) 752-1356


                                                           FOR IMMEDIATE RELEASE

            ALLEGHANY COMPLETES SALE OF INDUSTRIAL FASTENERS BUSINESS

            NEW YORK, N.Y. - DECEMBER 31, 2004 - Alleghany Corporation (NYSE: Y)
announced today that the previously announced merger of its industrial fasteners
business Heads & Threads International LLC with an acquisition vehicle formed by
a private investor group led by Heads & Threads management and Capital Partners,
Inc. of Greenwich, Connecticut had been completed. Under the terms of the
transaction, Alleghany received merger consideration of approximately $54
million in cash, subject to adjustment based upon net book value at closing.
Alleghany does not expect that the transaction will have a material effect on
after-tax earnings per share for 2004 fourth quarter or the year ended 2004.

            Alleghany is engaged through its subsidiary Alleghany Insurance
Holdings LLC (consisting of RSUI Group, Inc., Capitol Transamerica Corporation
and Darwin Professional Underwriters, Inc.) in the property and casualty
business and through its subsidiary World Minerals Inc. in the industrial
minerals business.

            This press release contains forward-looking statements with respect
to the anticipated effects of the transaction. Actual results of the transaction
could be significantly different. Factors that could affect results include
those set forth in filings made by Alleghany with the Securities and Exchange
Commission. Although forward-looking statements help to provide complete
information about future prospects, readers should keep in mind that
forward-looking statements are much less reliable than historical information.

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