ACE Reports Record Fourth Quarter 2009 Net
Income of $953 Million
Operating Income of $683 Million, up 9% in the Quarter, Contributes to Record Annual Operating
Income of $2.8 Billion; Book Value up 36% for the Year, Tangible Book Value up 47%; 2009 Operating
Return on Equity of 16.2%
February 02, 2010 04:18 PM Eastern Time
ZURICH, Switzerland--(EON: Enhanced Online News)--ACE Limited (NYSE:ACE) today reported net income
for the quarter ended December 31, 2009, of $2.81 per share, compared with $0.06 per share for the same quarter
last year.(1) Income excluding net realized gains (losses) was $2.01 per share, compared with $1.86 per share for
the same quarter last year.(2) Book value increased $934 million during the quarter, up 5% from September 30,
2009. Book value per share now stands at $58.44. Annualized return on average equity for the quarter was 14.2%.
(3) The property and casualty (P&C) combined ratio for the quarter was 89.6%.
Net income for the year ended December 31, 2009, was $7.55 per share, compared with $3.50 per share for
2008. Income excluding net realized gains (losses) was $8.17 per share, compared with $7.67 per share for 2008.
Full year return on average equity was 16.2%. Book value increased $5.2 billion, up 36% for the year. The P&C
combined ratio was 88.3% for the year.
Evan G. Greenberg, Chairman and Chief Executive Officer of ACE Limited, commented: “ACE had very strong
fourth quarter income. Operating income was up 9% over prior year, contributing to record income for the year, and
net income exceeded $900 million for the quarter. Our book value grew 36% in the year while tangible book grew
47%; both are now at all-time highs. In fact, over the last five years, we have grown our book and tangible book
value at a compound annual rate of 15% and 17%, respectively.
“Our P&C combined ratio for 2009 was 88.3% – a world-class result – and in terms of capital efficiency, we
Fourth Quarter Summary
(in millions, except per share amounts)