Bermuda reinsurer Maiden Holdings Ltd. yesterday announced net income of $12.5 million for the first quarter - its first results as a public company.

The company said net premium written totalled $102.4 million for the first three months of 2008. Broken down, earnings per share for the quarter were $0.21.

"We are extremely pleased with our first quarter results as a public company and look forward to the company's continued growth," said Mr. Max Caviet, president and chief executive officer. "Maiden's focus on low volatility throughout its activities has put us in an excellent position in the marketplace."

Maiden Holdings, Ltd. is a Bermuda holding company formed in May, 2007 to write reinsurance through its Bermuda-based subsidiary Maiden Insurance Company Ltd., to small and mid-size insurance companies in the United States and Europe.

In its earnings statement, Maiden said it has no exposure to sub-prime mortgages, as all of the mortgage-backed securities in the company's portfolio are government or agency guaranteed.

Return on equity for the first quarter was 9.4 percent annualised, while the combined ratio, the percentage of premium dollars spent on claims and expenses, was 92.7 percent for the quarter. Shareholders' equity as of March 31, 2008 was $530.6 million.

Maiden also announced yesterday that it has entered into a multi-year reinsurance agreement with AmTrust Financial Services, Inc. (AmTrust) for business written through AmTrust's acquisition of Unitrin Business Insurance (UBI).

Under the agreement, AmTrust's subsidiaries will cede to Maiden 100 percent of unearned premium from the acquisition of UBI's in force book of business, approximately $80 million. Additionally, AmTrust will cede to Maiden 40 percent of net premium written, effective as of June 1, 2008. The agreement is effective through June 30, 2010.

Maiden will pay to AmTrust a ceding commission of 34.375 percent and a brokerage commission of 1.25 percent of reinsured premium.