It was a dismal week on The Royal Gazette / Bermuda Stock Exchange as falls in the value of two of the largest domestic companies produced a fall of 4.27 percent for the BSX Index.

Insurer and pensions provider Argus Group Holdings Ltd. was the worst hit, as its share price plummeted 14 percent over the five days of trading. And the downward trend continued for Butterfield Bank, which fell 5.5 percent.

The BSX Index plunged 127.46 points to close the week on 2979.77 — the first time it has slipped below 3,000 in more than five years. The BSX is down 12.8 percent for the year, having fallen by more than 30 percent last year.

Argus, whose Argus International Life Bermuda Ltd. (AILBL) life insurance unit suffered indirect exposure to the Madoff scandal to an undisclosed degree, saw its stock price fall to $8 last week — its lowest level for almost five years.

Last month, an AILBL policyholder filed what could become a class-action lawsuit in the US against Argus and several funds and money management firms. Argus is also suing two of the Madoff-hit Rye funds that AILBL invested in, seeking to force their liquidation.

Argus fell $1.30 over the week on the trading of 4,000 shares.

Butterfield Bank is expected to post its fourth-quarter results within days. Tens of millions of dollars in write-downs over the past six months, related to soured investments linked to US mortgages and support for its Money Market Fund, have caused uncertainty for investors. Fitch Ratings recently affirmed the bank's credit ratings.

The bank fell 50 cents last week to $8.50 on the trading of 143,887 shares.

The only domestic company to gain value on the BSX last week was Belco Holdings Ltd., which rose 50 cents, or 3.1 percent, to close at $16.50 on Friday.

Volume for the week was 153,187 shares and turnover was a little more than $1.33 million.