Bermuda-based Annuity & Life Re Ltd.'s net premiums have grown nearly six-fold in the last nine months compared to the same period the year before.

The company has posted exceptional results in its third quarter results, which were released yesterday.

The company's net operating income, excluding losses is up 66 percent. The figures excluding realised gains on investments, are $9.5 million or $0.35 per share this year, compared with $5.6 million or $0.21 per share in 1998.

The company's net premium for the nine months until the end of September was $57.7 million compared to $10 million for the same period last year.

But stocks bought and sold in the quarter have made a huge loss. The company went from making a profit of over a $1 million to losses of nearly $800,000.

"The company continued its strong growth during the third quarter. The operating earnings per share increased nearly 10 percent over the June quarter, and is 66 percent greater than the September 1998 quarter,'' said Lawrence Doyle, the company's president and chief executive officer. "The face amount of life insurance in force is now over $36.5 billion, a 62 percent growth for the nine months. As our Company has now been recognised as one of the leading reinsurers writing North American business, we have seen an increased flow of new business opportunities which will be effective January l.'' Annuity & Life Re's net operating income for the last nine months was $26,631,000 or $0.98 per share.

The company's net income was $25,944,000 or $0.95 per share and $8,715,000 or $0.32 per share for the nine months and quarter respectively and the net income for the quarter was $6,660,000 or $0.25 per share.

Total revenue for the quarter grew 150 percent to $41,088,000, compared with $16,451,000 in 1998.

Total revenue for the nine months was $117,039,000. Underwriting results were favourable and operating expenses were 3.9% of total revenue, very low by industry standards.

Mr. Doyle added: "The proposed changes in 'HR-10' legislation in the United States are expected to have a very positive influence on our business as life insurance companies seek reinsurance solutions to improve their overall performance.

"The formation of our U.S. subsidiary is proceeding as planned. We are awaiting regulatory approval, with operations expected to commence in the first quarter of next year.''