Swiss insurer Allied World Assurance Co. Holdings AG, with Farmington operations, saw second-quarter profits fall nearly in half due to catastrophe losses in the U.S. and the Pacific.
The Zug, Switzerland, insurer netted $93.8 million, or $2.36 a share, in the three months ended June 30, down from $184 million, or $3.47 a share, earned the same quarter last year.
Allied World posted some $40 million to $50 million pre-tax losses stemming from U.S. storm damages, and about $25 million for additional losses from the first-quarter earthquakes and tsunami that struck New Zealand and Japan.
Allied has pending a $3.2 billion merger with New York medical malpractice insurer Transatlantic Holdings Inc. But rival suitor Validus Holdings Ltd. has been maneuvering to upset Allied’s offer.
