Bermuda-based Reinsurer LaSalle Re Holdings Ltd. said yesterday it expects fiscal first-quarter earnings to be hurt by destructive storms that hit Europe last month.

LaSalle, which is based in Bermuda and is due to become a unit of US reinsurer Trenwick Group Inc., said its fiscal first-quarter earnings would be "significantly impacted by catastrophic events'' caused by heavy weather and storms that swept through northwest Europe between December 26 and 27.

The company said early estimates indicate that the two storms, named Lothar and Martin, caused about $6 billion in insured losses industry-wide, adding that their combined effect "could rank as the most expensive insurance catastrophe in European history.'' Based on those estimates, LaSalle said it estimated net claims of $23.5 million for Lothar and $5.6 million for Martin.

LaSalle also estimated net claims of $7 million for a storm that hit Denmark on December 3.

"These events will certainly add to the momentum of rate increases for catastrophe reinsurance,''said Guy Hengesbaugh, LaSalle's president and chief executive.