PartnerRe Ltd. expects to write 20 percent more in January renewals of reinsurance contracts than it did last year - thanks to last year's purchase of Paris Re.

In a statement released last night, the Bermuda-based reinsurer said it expects its sales for the renewal period to reach apporximately $2.6 billion.

This figure includes some $440 million of premium from Paris Re, the Switzerland-based reinsurer acquired by PartnerRe last year.

Around 60 percent of PartnerRe's business renews on January 1.

"Overall, we are pleased with the performance of both the PartnerRe and Paris Re books of treaty business in the January 1 renewal," PartnerRe president and chief executive officer Patrick Thiele said.

"Specifically, the PartnerRe book was stable with little change in overall client buying behaviour, pricing or terms and conditions.

"Paris Re experienced the normal dislocation and portfolio attrition associated with a change in control. Despite this, Paris Re renewed approximately 90 percent of the business that met its portfolio objectives. New business remains challenging to achieve given the current stable environment." Individually, PartnerRe recorded an eight percent cancellation rate, while Paris Re's cancellation rate was higher at 20 percent.

Renewal changes represent both changes in pricing as well as changes in participation on treaties.

Mr. Thiele added: "Our overall priced technical ratios on the combined book were broadly in line with those in 2009, and we maintained double digit priced returns on equity despite the continuation of a low interest rate environment.

"With PartnerRe's strong market position and active capital allocation, we believe we can maintain profitability in line with our long-term goal of 13 percent operating ROE in 2010, barring unusually large loss events. Our larger combined portfolio, backed by our substantially larger capital base, positions us well for 2010 and beyond."