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Swiss Re signals confidence to repay Buffett

18 February 2010

Swiss Re has raised its dividend for 2009, in a sign that the world’s second-largest reinsurer is now in a position to repay a expensive convertible loan from Warren Buffett’s Berkshire Hathaway.

Read more: Swiss Re Warren Buffett Berkshire Hathaway Stefan Lippe convertible loan dividend capital

Swiss Re has raised its dividend for 2009, in a sign that the world’s second-largest reinsurer is now in a position to repay a expensive convertible loan from Warren Buffett’s Berkshire Hathaway.

The Zurich-based reinsurer said Thursday that it returned to profit in 2009, reporting net income of SFr506m ($686.6m), compared with a loss of SFr806m in 2008.

“Today, I am proud to say: we have come a long way,” said Stefan Lippe, CEO of Swiss Re.

Net income missed analyst estimates after the result was hit by...


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Quote

If last year was the year of the cat, then this year could be the year of the debt crisis.

Mike Van Slooten, head of international market analysis at Aon Benfield