Fourth Quarter

4Q net loss of $61 million, or 68 cents a share, compared to $102.4 million, or $1.53 a share during the same period a year ago

4Q loss, excluding changes in investments, of $53.2 million, or 59 cents a share, falling short of average analyst expectations that the company would have an income of 20 cents a share. In the year-ago period, income was $94.6 million, or $1.41 a share

Montpelier sold net policies of $8.3 million compared to $98.9 million in the same period a year ago

Combined ratio of 147.2 percent in the quarter, indicating the company lost money on every dollar of business it underwrote in the quarter, compared to 58.8 percent in the same period a year ago, indicating a profit was made

Net investment income rose to $26 million compared to $19.5 million in the fourth quarter a year earlier

2005

2005 net loss of $752.9 million, or $10.49 a share, compared to profit of $240.3 million in 2004, or $3.55 a share

2005 loss, excluding changes in invetments, of $783.5 million, or $10.92 a share, compared to income of $226.1 million, or $3.34 a share, in 2004

Montpelier sold $757 million in net policies compared to $749.3 million in 2004

The company's combined ratio for the year was 200.7 percent indicating it paid out about $2 for every $1 of business it took in on the underwriting side. The combined ratio in 2004 was 77.8 percent, indicating a profit on underwriting was made.

Net investment income rose to $87.1 million from $69.1 million in 2004

At the end of the year shareholders' equity had fallen to $1.06 billion from $1.75 billion at December 31, 2004. The 2005 amount includes the $1.4 billion the company raised late in 2005 to replenish its capital after last year's storm losses