Bermuda insurer and reinsurer ACE Ltd. is currently negotiating to buy its second Malaysian firm, an article in a recent property/casualty edition of the insurance publication BestWeek reports.

The article reported that ACE vice chairman Don Kramer made the statement during a presentation at last month's Property/Casualty Insurance Joint Industry Forum in New York. He did not divulge any details surrounding the potential purchase which would join Malaysia's Rhea International Marketing in the company's ranks.

Mr. Kramer did say that ACE was considering expanding its Asian-Pacific presence as it sought to use its capital wisely. The news follows ACE's aggressive expansion into the US last year through the purchase of property/casualty operations from Cigna Corp for more than $3 billion and the more recent purchase of Capital Re Corp.

EVEREST RE INCOME UP BUC Everest Re income up A US-based reinsurance firm which is looking to add a Bermuda operation this year has announced its earnings for 1999.

Everest Reinsurance Holdings, Inc. Chairman and Chief Executive Officer Joseph V. Taranto said: "By staying focused and disciplined, we were able to not only grow operating earnings for the year, but grew premiums at a healthy rate. Everest reported 1999 fourth quarter after-tax operating income of $41.1 million, or $0.87 per diluted share. This is an increase of 3.6 percent in earnings per share compared to $42.5 million, or $0.84 per diluted share in 1998. For the full year ended December 31, 1999, the Company's after-tax operating income was $170.8 million, or $3.51 per diluted share, a 7.3 percent increase in earnings per share compared to $165.7 million, or $3.27 per diluted share for 1998.

FLAG SALES AHEAD OF TARGET BUC FLAG sales ahead of target Bermuda-based FLAG Telecom Holdings Ltd this week announced that Saudi Telecommunications Company had bought capacity on its transatlantic cable system. FLAG, a newly-floated provider of telecommunications products to international carriers, is building the Atlantic-1 system in partnership with Global TeleSystems (GTS). GTS President Robert Amman said: "Sales on FLAG Atlantic-1 remain ahead of target as we can provide a true gateway to global connectivity for customers like Saudi Telecom.'' OASIS TECH SECURES CASH BUC Oasis Tech secures cash One of the Bank of Bermuda's software providers, Oasis Technology Ltd., has completed a second round of top tier private equity financing worth US$25 million. Oasis, a leading provider of Internet payment software, will use the investment proceeds to help drive an aggressive sales and marketing programme designed to maintain and further reinforce its industry position as a leading provider of Internet payment software products.

Bank of Bermuda currently uses Oasis software to bridge the virtual world of Internet payments with real-world payments from traditional channels like Automated Teller Machines and Point of Sale transactions.

PXRE RATING UNDER REVIEW BUC PXRE rating under review PXRE Re Group, who recently reorganised to Bermuda, has seen its A (Excellent) rating placed under review by A.M. Best Co.

The rating action applies to PXRE Reinsurance Co. and Transnational Insurance Co. The action follows the significant deterioration in the group's fourth-quarter results mainly from significant exposure to catastrophe losses.

But overall underwriting results were also impacted by the increased expenses relating to the holding company's reorganisation to Bermuda and higher costs incurred to implement PXRE's planned diversification. Throughout 1999, PXRE suffered losses of nearly $80 million relating to 15 events; some $60 million incurred in the fourth quarter.