Hannover Re has reported net losses of €85m (£52m) for the first nine months of 2001. The world's fifth largest reinsurer said the 11 September terrorist attacks on the World Trade Centre had wiped out third-quarter profits.
Hannover Re, which reported first-half net profits of €118.8m (£72.5m) in October, said the attacks had knocked €234m (£143m) from third-quarter profits and caused losses of €204m (£124m) in the three months ended September.
The reinsurer said that excluding the attacks, it would have achieved a profit after tax of €30m (£18.3m) for the third quarter.
Hannover Re said it expected to break even for the full year, despite forecasting the total loss from the WTC attacks at €400m (£244m) before tax.
It added that it was positive about the outlook for 2002 and the recent upturn in premium rates, which have been rising since the September 11 attacks.
Chairman Wilhelm Zeller said Hannover Re expected a good result for 2002, adding that it had benefited from a €194m (£118m) equity issue in December which gave it capital to underwrite more business.
"We are currently in one of the hardest reinsurance markets for decades. Following the successful capital increase in December last year we are strongly positioned in the market," he said.
