Bermuda-based insurance giant ACE Limited reported on Friday that its profit in the fourth quarter was $23 million higher than first reported last month. The increase boosts the company?s last quarter profits by eight cents a share, bringing total net income to $444 million over the $421 million initially reported on February 4. An ACE spokesperson said the increase stemmed from a discontinued derivatives contract written by its financial guaranty unit.

The announcement was made prior to the company?s annual filing of form 10K with the US Securities and Exchange Commission (SEC). The change will reportedly be included in the company?s consolidated financial statements for 2003, increasing ACE?s already record income of $1.4 billion for the year to $1.417 billion.

ACE previously announced it would be spinning off its financial guaranty division through an initial public offering. Although keeping a a stake in the new company ? named AGC Holding ? ACE will sell off between 65 and 75 percent of the business in the IPO slated to occur in the first half of 2004.