Troubled Bermuda-based insurance broker Stirling Cooke Brown Holdings Ltd has outlined a plan to return the company to profitability, it was revealed on Friday.

The company has been facing a number of law suits which have drained capital and tarnished the company's reputation.

But at Thursday's Annual General Meeting in Hamilton, the shareholders heard an outline of how the company would get itself back on track.

Stephen Crane, president, chairman and chief executive officer predicted that by next year the company would once again be profitable.

At the meeting Stirling Cooke Brown also elected Peter Christie to the company's board of directors.

Mr. Christie's election is the latest of a series of key additions of non-executives to the Stirling Cooke Brown board of directors which is part of a pledge to raise the credibility of the company made by its new president last year.

Mr. Crane took over his senior post at the end of last year and has pledged to turn the company around.

It began with the election of Patrick McDonough in 1999 and, more recently, the previously reported election of Hadley Ford in March of this year.

Including Mr. Crane, and Len Quick, who is the chief operating officer, five of the company's directors have been elected since last year's annual general meeting.

At the AGM, where all proposals were passed overwhelmingly by a vote of shareholders, the company outlined a plan to return Stirling Cooke Brown to profitability.

Mr. Crane reported that management strength is being upgraded in many parts of the company.

He further said that there would be a substantial reduction in general and administrative expenses in 2000 versus 1999.

He also referred to the company's new long-term strategic plan, which was completed and endorsed by the board of directors this month.

At the end of his address to shareholders, Mr. Crane said: "Our plan reflects a practical, achievable strategy about which the board is extremely enthusiastic.

"I hope to be reporting to shareholders later this year about the progress we are making toward achieving our objectives.'' In a reference to insurance market conditions and the recent re-underwriting of Stirling Cooke's core book of business, Mr. Crane said: "We are operating in a very difficult market environment this year, but one in which we expect to survive and flourish.

"We have taken our medicine, and we expect to be well positioned to capitalise on opportunities that we anticipate will arise by the beginning of next year.

"The improvement we foresee, along with continuing progress in implementing our strategy, should return us to greater levels of profitability next year.'' Stirling Cooke Brown is a Bermuda-based holding company, which, through its subsidiaries, provides insurance services and products.

It has a range of services and products such as unaffiliated insurance and reinsurance companies, insurance agents and insurers.

The company is active primarily in the workers' compensation, occupational accident and health and casualty insurance markets through its subsidiaries located in London, Bermuda and the United States.