quarterly results yesterday with profits more than double the same period last year.

For the six months ended June 30 Annuity & Life's net income was $17.23 million or 63 cents per share. The company which was set up last year brought home net income of $8.75 million or 32 cents per share for the quarter -- which is well up on the same period last year's $3.58 million.

And The Royal Gazette can reveal the company has set up a US holding company established in Delaware called Annuity and Life Re America Inc.

A statement from Annuity & Life said the company was "examining a number of shell companies'' and intends to kick off a low cost start-up during the fourth quarter.

President and CEO Lawrence Doyle said he was pleased with the continued growth but was looking to the US to gain agility.

"The establishment of a US subsidiary will provide us with significant structural flexibility, which will enable us to provide additional customised reinsurance solutions for our clients,'' he explained.

"Our operating earnings per share have increased consistently each quarter since operations began in April 1998, with the June quarter increasing 10 percent over the March quarter.

"During the first six months of 1999 the total annuity funds on deposit grew 25 percent to $1.6 billion and the total life insurance in-force grew 39 percent to $31.2 billion. "We have enjoyed significant growth year-to-date which, based on the current flow of business, is expected to accelerate during the balance of the year.''