million for the quarter ended March 31, compared to net income of $3.6 million for the same period in 1999.

The company said diluted net loss per share for the first quarter of 2000 was $0.11, versus diluted net income per share of $0.38 in the corresponding quarter of 1999.

The Company also reported that its Board of Directors has declared a quarterly dividend of $0.03 per ordinary share payable on June 1, 2000 to shareholders of record on May 19, 2000.

The comapany said the poor results for the quarter continued to be affected by adverse factors, which impacted the Company's results last year. The US workers' compensation insurance market, in which Stirling Cooke conducts most of its business, continued to be extremely competitive throughout the quarter, and the Company experienced significant pricing pressures in the market segments in which it operates. These difficult conditions resulted in reduced revenue and shrinkage in operating margins, a spokesperson said.

Results for the quarter also reflect additional costs relating to the restructuring and consolidation of the Company's operations.

Lastly, Stirling Cooke continued to incur costs pertaining to reinsurance-related disputes in which the Company is involved, including certain litigation.

Stephen A. Crane, president & CEO, commented, "Despite adverse market conditions, first quarter results were in line with our expectations. We continue to anticipate a return to profitability by the end of the year.'' For the quarter ended March 31, 2000, total revenues were $16.4 million, representing a decrease of $7.2 million from revenues of $23.6 million in 1999.

Brokerage revenues decreased $5.1 million to $3.5 million in the first quarter of 2000 from $8.6 million in the first quarter of 1999. This decrease in revenues was primarily due to a diminution of business being brokered due to the changing market environment. The Company's programme business revenues decreased $1.2 million to $4.8 million in the first quarter of 2000 from $6.0 million in 1999.